Nope, sorry, TDM. Check out the 1978 'Last Waltz' version of the song here: https://www.youtube.com/watch?v=jREUrbGGrgM

Levon Helm distinctly sings "there goes the Robert E. Lee". I've seen lyrics online with both versions, to tell the truth.

But I do agree with your description of the song - it is not a racist screed or about white supremacy but a very personal tune about a man watching the country and his way of life go up in flames.