I pulled the outdrive yesterday and when I tilted it around a bit of outdrive oil came out (probably an ounce or so) and about that much water - it came out of what's labelled as a gear housing water drain hole on the outdrive - it's the hole located right by where the cases split.

Am I to worry about this little bit of oil? What about the little bit of water? This boat was winterized and has sat all winter in a non-heated detached garage FWIW.

The oil was clean and not murky like it's been mixed with water. Outdrive resovior was full, I'm going to drain the outdrive oil and see what it looks like.

Its probably a leaky shift shaft bushing ..

Great

how hard is that one to replace?? Guess I'll be replacing the pump impeller (preventative maintenance) and that seal at the same time...

The outdrive was tilted in the "trailer" position all winter - could that have caused the seal to leak a bit over time? Doesn't seem like it's continuing to leak and the outdrive fluid level in the resovior was in the OK range.