I have a '96 LT1, 4L60E tranny and a dana 300 t-case. I need VSS so that my jeep (CJ7) will shift right. The part that Noval says that I need is the
#2PRS has anyone used this yet and does it work for your app? I need a 40 pulse system and they say this is it...please help.

The #2PRS is a two pulse that has a pass through that allows you to use your existing mechanical cable. I don't think you want that. That is what I purchased for my swap, 700R4 in an 84 CJ
http://www.jagsthatrun.com/V8-chapters/V8-tpi-Speed-Sensors.pdf

thanks...The guys at novak told me that their documentation says 40 pulse?

Anyone else with this issue?

Pre-'96 PCM's got there VSS inputs from a buffer located under the dash. The buffer got 40PPM from the VSS located in the trans. The buffer turned the AC signal from the VSS into a number of lower frequency square wave signals, two of which went to the PCM; one for engine management and one for tran control. I think engine management was 2-pulse, and trans was 4-pulse, but not sure. My manual does not show a VSS buffer for the '96-'98 (years that my manual include) engine, so it's possible the PCM does the buffering, and requires 40ppm.
You need look at an electrical block diagrame for your PCM. It should show you what inputs are required from the VSS.

Yeah I need the 40 pulse system.. I guess I will go with the system that jasthatrun sells for about $200. It has the reluctor ring and the GM sensor.

AA has a kit that goes into the tail of the main trans case, 40 pulse with reluctor sensor and ring.

Its also a possibilty that you have the reluctor ring already in the trans depending on what year and/or 2 or 4 wheel drive. to find out you basically have to look into the trans with a flashlight. if its there you'll be able to use a factory sensor. the hole was in the left rear of the case...

also depending on if you changed the output shaft, you may need a different reluctor ring I.D. as some shafts are a 700R4 style with the mechanical reluctor gear MFGd into the tail shaft.

My tranny was from a 2 wheel drive. I had it rebuilt with a 4x4 shaft installed, but it didnt have a reluctor ring.