Erik,
Thanks for the reply. I took off the brake drum and got a good look inside. Both brake pads are saturated in a kind of oily grease, and there is build up on the inside of the wheel where it has dripped down. The stange thing is I can't pin point an area where the fluid is coming from. The center of the axle area looks pretty dry compared to the brake pads. I'm planning on taking it in to a local shop and having them replace the wheel bearings and seals (due for it anyways at 134,000)

Thanks again,

Vern