1973 Evinrude 135... Shift Rod Seal Placement

[geezer1]

My service manual is not clear on exactly where the seal is to be installed (OMC P/N 317924). I'm not referring to the "O" ring seal, but rather the seal that looks more like a "boot" than a seal (reminds me of a miniature version of the floor shifter boots we had in our cars, back in the day). I wish I knew how to post pictures, references, etc., but I'm afraid I'm not very computer literate. If anyone wants to bother, it's shown in the 1973 Evinrude 135 parts order section, Exhaust Housing parts, Item #64). That particular illustration depicts the seal sitting atop the outer exhaust housing, directly over the hole that the shift rod goes through. I'm curious as to this seal's function, how it should be mounted, and whether sealant should be used in the process. As always, any help is appreciated. Geezer.