"O2 sensor reads as high as .88 and fluctuates around which is what it is suppoe to do."
• That .88V says the sensor sees a RICH mixture.

"Fault code say lLAmba is too lean, air leaks."
• Actually it says lean or RICH (at "cruise" or "part load"), which is what the O2 sensor says too, at idle(?).
Check the 700/900 FAQ here for possible rich-running causes.


OD Control:
Assuming the solenoid and tranny are OK, you can replace the OD relay with a jumper wire at the relay harness connector plug by connecting these two terminals together:
• Input terminal #15 (2 wires, a Blue and a Gray)
• Output terminal #87 (White wire)
It should operate normally, except no switch control.
--
Bruce Young
'93 940-NA (current), 240s (one V8), 140s, 122s, since '63.