Perhaps some comparison to other Gen 3, manual HVAC mode controller positions would verify if it's stopping in the right position. For example, here's a photo of the mode actuator on my 2007, when it's supposed to be in the Floor position. The actuator movement can be seen by opening the glove box door and removing the storage holder for the Owners Manual. (This was originally posted in http://www.subaruoutback.org/forums/109-gen-3-2005-2009/469194-2005-obw-dyi-hvac-vent-mode-actuator-repair.html, which might also be of interest. There's a short video in post #5 showing the positions of the half-moon white part for each mode setting.)Can the diverter go out of adjustment? It seems like when I have the selector to floor, less air comes out of the vent than normal. The FSM doesnt seem to show an adjustment.
Airmix door, i.e., the temperature control, is cable operated. The mode control is electrical as in your Gen 2.I don't have a manual to be absolutely sure, but I'd be really surprised if any of the Gen-III models still used mechanical cable operated flaps. Airmix door a remote possibility on the single temperature systems. The mode (def/vent/floor) was even electrically driven on my Gen-II Outback.
Just to clarify; to view the actuator, as in my photo, the glove box doesn't need to be removed. The holder for the Owners Manual can be worked out without any further disassembly.. . . I'll remove the glove box, and look in the morning. The FSM seems light on descriptions of the controls for the vents. . . .