1961 5.5HP Pinion Shaft and shock 0376073

[Mellonhead]

I have a 1961 Johnson 5.5HP CD18 that I'm trying to replace the water pump in.

When I tighten the the screw in the water pump housing, the drive shaft and prop shaft bind and can't be turned.

I'm thinking this Pinion Shaft / Shock absorber are shot.


Questions:
1. Is this assembly supposed to compress like a shock absorber on a car?

2. Is there supposed to be a Thrust washer just above the Pinion Gear?

3. Or is the washer just below the Shock Absorber the Trust Washer?

I'm thinking the that the Pinion Shaft is being pressed into the Clutch Dog when the water pump housing screws are being tightened, or the shock absorber isn't compressing like it's supposed to.

There was no Thrush Washer just above the Pinion Gear when I took it apart, and there was some damage to the Bearing Housing and Bearing 0376074 when I took it apart.

Any help is greatly appreciated!!!

MH