Here We Go:

 

looks like the pics may have answered what's wrong... I don't think i like the look of the torn boot. Also, I've never had mine apart like that, but did you have the screws holding in the cup-shaped part? If so, that shouldn't rotate there, so I don't think i know where it would be turning.

 

It was bolted down.. 3 bolt holes... 2 bolts in.. guess I lost the third one.

 

two should be enough to hold that in, so it can't be the cup spinning. Must've been the large rounded part spinning in the ring that surrounds it. At least that's about all that I can picture happening from the pics. In that case, I don't know of much of a way to fix it other than to replace it.

 

If you rotate the shifter 180 degrees from this picture, there should be a slot in the large ball.

That slot should meet up with a corrosponding guide pin in the transmissons shifter neck.

If the pin is missing, there is no way to keep the shifter properly aligned. From your pictures it appears to be missing, but is hard to tell for sure.

Although in this picture you can see the slot in the bushing for the pin.


If the pin is indeed missing, then Brad is correct. You will need to replace the whole shifter housing/shift rod on top of the tailshaft housing to fix it.

 

You can see the pin in this picture:


and the slot we are talking about in this one: