Shift problem
Robert I have to say that I haven't seen this problem yet and I have been rebuilding torqueflites for over 25 yrs. Whenever I see one that won't downshift after coming to a stop they won't kick into passing gear either. That would indicate a governor problem. Chrysler doesn't call it's kickdown linkage a detent like GM does but it does have a mechanical kickdown that works in conjunction with the governor to regulate the shift speeds and downshift. You are correct in thinking that if it wasn't hooked up it wouldn't kick down. The operation your describing sounds like it has a manual valve body except that it retained the kickdown feature which isn't possible on any manual valve body that I know of. I believe I would start by running a pressure check on the governor. The 1/8 inch pipe plug on the lower drivers side of the extension housing is the governor pressure test port. In drive with the brakes applied and engine idling it should be no more than 1-1/2 psi. Closer to zero is best. Much above 1-1/2 psi won't let it downshift when stopped. If it is above 1-1/2 psi I would inspect the governor for stuck valve(s) or a broken spring. You probably know this but in case you don't the governor is located on the output shaft so you have to remove the tailshaft housing to access it. If you don't find the governor stuck valve(s) it has to be a problem in the valve body. I don't think there is any mechanical problem that will cause this. Good luck.