Thanks! I'll try to get a picture and some measurements tomorrow. The guy at the transmission place had a couple of pointers. The FSM casually illustrates that the ball will come out of the hole, right after the switch. But then again, it also shows some sort of flat washer or seal in the assembly too. LOL
I was able to get a peek inside of the hole, the threaded portion goes up to a flat inner surface on the top, then the hole that accepts the plunger is bored out from that top surface. I did not see a ball bearing stuck in the hole.
One theory is that a previous owner took the switch out, and maybe inadvertently let the ball bearing fall out into some tall grass

I guess I should check the old switch with a meter to see if there would have been a reason to remove the switch in the first place. I guess it's possible that this transmission was a replacement for the original.
Whatever the reason, someone's solution was to simply remove the bulbs from the reverse lights. I was so happy when I put them back in and the lights came on. Not so happy when I took it out of reverse and they STAYED on!
And yes, I did remove the seat so I could access the junction to check voltage on the wire under the passenger side. <img src="/forums/images/graemlins/lol.gif" alt="" /> <img src="/forums/images/graemlins/lol.gif" alt="" />
I'm assuming that the switch housing reduces in diameter beyond (above)the plunger hole (to hold the ball into place), because, as rough as the tranny sounds, I think it would sound a whole lot worse if an 8mm ball bearing were loose in there. LOL
I know I'm being a little obsessive about this question, but it took quite a while to find out what I know now on the net. Hopefully all this documentation will save someone else some time later.
Thanks Again, I'll post what I find out tomorrow.