I posted my question elsewhere and got an answer. I thought I would share what the Tech sent me in case anyone else has a need to adjust the automatic shifter linkage or safety start switch. My car starts in park and neutral, and now has backup lights. Oh yeah, the car is an 86 300E.

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Ron,
The tit indeed fits into the arm where you have it. If you notice, there is a hole in it, and a hole behind it in the switch body. Stick a drill bit in the hole when the lever is in neutral and it is lined up perfect. If it is not lined up, here's what you do.

Disconnect the shift linkage if necessary, it gets adjusted last and isnt important for switch alignment. Loosen the two 8mm bolts securing the switch itself. Put the shift lever in neutral by feel. All the way back is park, then two clicks forward, which are reverse and then neutral. Move the switch until the hole lines up between the tit and the switch body. Insert your drill bit. Tighten the two 8mm bolts securing the switch. Re-attach the shift linkage, and before you move anything, look in the car and be sure it is pointing at neutral. If not, change the length of the rod with the adjuster as needed.

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Ron Miller

1986 300E