Does your lever go fully counterclockwise to engage or just most of the way? I don't think mine is going far enough. Here's a pic of it all the way clockwise (freespool) and a pic of as far as it will go counterclockwise (engage).
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You rule! There's no way I messed it up. I removed the handle while it was rotated as far as I could towards engage. W/the handle out I can use a screwdriver & easily slide the gear the rest of the way. It's almost like the casting of the little nipple on the end of the handle is wrong. Hard to explain if you've never taken that little handle off before. It's just a slotted shaft with a nipple that, on an arc, pushes the gear into engage. If I can put a screwdriver down in it & easily move it into the correct position then it has to be the handle is casted wrong, yes? I didn't try it before clocking it but I took pictures, had the diagram AND the directions on clocking it so I'm 99.9% it's not me.