Okay, bill to figure out it was the gem or fusebox and to put it in was $400.
I figured since they were going to put the old one in anyways, I'd give a used one a shot. It worked. You'ld think that after ford issues a TSB about the common problem being the water leaking onto the fusebox/Gem, the tech's at ford would easily just point it out.
Instead, I get answers like " it's your 4x4 switch" or " Nope, not the GEM, it's a shorted wire" and finaly Yup, it is the either the GEM or the fusebox, better replace both"
If they had just researched ford's tsb, they would have found the problem in a half hour.
The old fusebox/GEM is at work, I'm going to take it apart and repair it. I'm going to take lots of pic's and write a detailed procedure on how to remove, clean and water proof the GEM and fusebox so if anyone else complains about this problem, they will have an accurate fix.
Should have this up in a week.