I’m hoping that with in the next few days I’ll be pulling the pto out and see what’s going on with it. I’ll post what I find.You seemed to have already have a good grasp on what the problem was just not what was actually causing it. I just wanted to make sure it wasn't something simple that you were overlooking. Hopefully my post will help someone later on that needed the info.
I really am curious to know what exactly is causing your problem. I am leaning towards a mix of parts from different years and a PO who did modifications to the original setup. It always helps to actually fix a problem instead of jerry rigging something to work. Unfortunately many PO go for the quick fix instead of the real fix.