3-2 downshift solenoid clip was gone, solenoid popped out of the valve body. I bought the valve body from a local trans supply shop. It was a "known good used" part. It had all the solenoids on it. I figured they had tested everything so I stuck my new Sonnax parts in and stuck it on the trans. Never even thought to check for clips missing.
I had my mind set on it being the Teflon rings so I pulled the trans without removing the pan, and tore the trans down. I was inspecting the valve body and the 3-2 downshift solenoid fell out. The forward clutch got just a little toasty so I replaced it. I also used the solid rings on the pump and input shaft, then resized them.
Just drove it about an hour ago, she drives and shifts really nice..