Quote
...lower right position, that's neutral! (I think)

No...it is still in 4H at that point; neutral is at mid course between that point and the 4L position, with a clickstop on the manual (left pic below), but still there and no clickstop on the auto.(right)
[Linked Image]
Beater...does it mean now that you are still able to run in 4H....as this is not a welcome idea on dry surface, you can disconnect the vacuum solenoid so the vacuum hubs would not engage....or was it already decomissioned as the 4WD light stays off..? (like tcase connector disconnected).
Do you have the front driving shaft turning ?