JC:
Not sure if your steps are the same as ours (2008), but that switch is to keep the steps from Retracting when the door is open and closed multiple times while parked at the rv site. With the switch in the opposite position of what you described, I would see if it cures your problem. One position does allow it to extend and retract with the door, the other position will leave them extended with door operation.
Water could have intruded into your controller, I have had some issue with water but it was giving me a False extended warning. I don't know if wire position matters on the switch if it has been replaced.
PS: just looked ours up, they are Kwikee.
Good Luck. Larry D.