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I'm kind of surprised that neither Joel nor Ryan commented on this but it sounds like you actually have two problems.
The speed sensor is part of the ABS and is what determines the wheels are moving at different speeds when stopping. Gen I Rodeos have one sensor on the differential. Gen II and beyond have two additional sensors -- one on each front wheel. They're not cheap but the price you quoted seems high.
And as both Joel and Ryan pointed out, the range switch is not that difficult to disassemble and clean - at least that's what I've read. I need to do mine because I have the same problem as you. I don't know if it contributed to my A/T going belly up to the tune of $2100 to repair but it did shift poorly when the dash indicator didn't match the selector on the floor.
Good Luck!
JWS
'99 LSE 4WD with newly rebuilt A/T
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