You are absolutely right about that - cutting and welding - That's my major hang-up! with never having welded before - well that and not having a tool that can cleanly cut to shorten the tube. ohhhhh and add to all of this that the local JY want upwards of $350 for an Explorer 8.8 - has completely detracted me for moving forward on doing this. However, this option looks more do-able. however I do have one question, maybe I missed something but did you measure and cut the almost 3" off the end of the tube or from the line you scribed?
Actually I have another question: what were the "PLUG" holes on the differential refilled or replugged with?