Yeah, that starter shaft play is out of bounds for sure, but looking at the last picture with the shaft end inside the bushing, I'm trying to see where your finding a tenth of an inch of movement. Maybe I'm not understanding what part your measuring/describing???
You should take a look at the flywheel ring gear for excessive tooth wear or even bad sections. If the starter drive gear is trying to engage on a badly worn ring gear, you'll get the same grinding/no start results.
My quick measure was the shaft end inside of the bushing. That pic shows it pushed back as far as it falls, but it also slides forward until the shaft is almost flush with the end of the starter. I'll attach a photograph of what I was measuring.
I'll have to check out the ring gear as well then. I haven't looked under the truck too much yet but I think I remember there being a cover plate under the bellhousing and it looks like it'll come off and give me good access to the flywheel. Then I just need to pull the spark plugs so I can turn it easily and I'll give the whole thing a detailed inspection.
