Joe, it's 1/4 hard line to the back of the truck, then down to 3/16 to go to each rear wheel cylinder. I'm not a fluid dynamics expert, so perhaps 1/8 would be OK, but that seems small. Seems like that size hose is meant for each individual wheel cylinders at the ends, and not the one that feeds both. Doesn't seem quite right to go from 1/4, to 1/8, to 3/16 to me.
That junction that you posted from O'Reilly might be OK since it's a junction meant to feed both sides. But I'm currently set up to go to a T fitting that mounts into a bracket to hold everything tight, not a junction hose like that. But I could make a bracket for a junction type hose if need be. What I need has to exist out there, I just need to find it. Was hoping someone here already went down this road.

The other thing I worry about is the durability of the smaller hose. Will it last as long, bending and flexing constantly as the suspension works? Maybe, but it's something that comes to mind to consider.