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Thanks for follow up there is no vacuum and I am confidant the hubs are properly installed. With that said I am relatively sure I will go ahead and install manual hubs. What name and model does this group recommend?
Did the front driveshaft spin when the rear wheels spun? If by yourself,in park and transfer case in 4 high or 4 low. Engine off for safety,see if the front driveshaft can be spun by hand. If you can spin it by hand then the case is not engaging 4wd. If it does not spin by hand then the hubs or even 1 of the hubs did not engage
What was the result of this test of the transfer case? With the transfer case in 4 high or low the front driveshaft will not be able to be turned if in “Park” or in gear with a manual trans.
Replacing the hubs won’t fix anything if the transfer case isn’t working correctly. As stated in Post #10 the transfer case engaging the front axle is what causes the auto hubs to lock. You haven’t ruled out that they are defective.
Further to this, if the shifter is partially seized its possible you are not getting it back far enough to engage 4hi, so as suggested don't jump the gun with the hubs your problem may be elsewhere. Auto hubs are perfectly fine on a street driven truck, I drove one of my trucks with auto hubs for years without a problem, lots of slippery winter roads but no serious offroading, never a problem.