Well I contacted a transmission shop and talked to him about the problem. He confirmed that it is either the solenoid, valve body stuck, or lockup clutch ruined. I was getting ready to pull the valve body and have it cleaned but the A/T temp light came on the other day after driving for awhile. That indicated to me that it must be more than a simple solenoid.

I took it in and he is doing a rebuild for a lot less than the dealer. He indicated that the torque converter was shot and indications of lots of heat when he pulled it. He actually does the rebuild not just a swap and the shop has been in business for a long time.

I would check the hose if I were all of you. I bet mine rubbed through where Maxx1 indicated. The first shop indicated that it was rubbed through.

On a good note, the dealer refunded ALL of my money. Simply told him I came in with a problem and left with the same. He agreed and refunded it without an argument. I can't complain too much about that.

Thanks for your help guys.