I think we're making headway
I think the '98 is almost identical to mine ('99), and thus it is different from yours by quite a bit. So I think I would go by the '95 manual and what you can see/test on your rig.
Just to explain a bit further:
The '98 has house batteries (two) in an outside compartment below the water heater. It has a Surepower 1315 "smart" solenoid. It has a panel on the overhead of the cab with a bank of switches (fog lights, emergency start, generator start, "store" (which is basically the house battery disconnect from house loads which they mean for you to use when "storing" the rig). Much of this is controlled through a SurePower LVD (low voltage disconnect) box which is ahead of the couch, which you don't have. So really, similar intent, but much different implementation in '98.
So, that's why I say if it were me, I'd go by the '95 diagram (which shows the two solenoids and the house battery where you have it), and then figure from there. I think it would be helpful at this point (to me anyway!) to have a diagram (or labeled photo) showing which color wires are going to the two switches on your dash panel. For all we know it's working fine, but I'm like you, I would want to know (and I would be suspicious at this point), and I'd want to LABEL those wires. Right now I'm feeling the need for a labeled diagram or photo.
I know it seems confusing, but we do have a number of things going for us:
1) We have the '95 diagram, even if it isn't exactly like yours. It looks close.
2) We know the basic intent of Chinook.
3) You are interested and willing to check things out.
I will just re-mention an alternative IF you wanted to, which is that you could just make this all simple and manual. OR, you could wire in a more modern solenoid. Kind of depends on how you like to do things.
Actually, since you have both batteries under the hood, the manual switch and wire run could be quite simple (short = simple due to the fact that long runs require running them, larger wire, more chafe protection and securing, etc.). Mind you, I'm not trying to sell you on this idea, but just offering alternatives. What you would do for this is just bypass/disconnect (no need to remove at this point) all of the solenoids and associated wiring. Then run a cable (you could potentially re-use the red #4 if it is long enough) from the positive of the start battery to the positive of the house battery. Somewhere in that run, you put in a Blue Sea switch. I'd also add fuses (safer). It would be simple to put the switch under the hood, but then you'd have to open the hood to turn it on and off. Might be a pain, or might not be a big deal if you check things anyway. Or maybe you could run the wires in through the firewall and have the switch under the dash. That would be super handy. In this case, a manual switch would be doing exactly what your solenoids are doing (combine/disallow combining/combine to jump start), but in a manual way (the solenoids are "automatic").
A more modern solenoid could also be put in, but at a slightly higher cost. Best not under the hood, but OTOH these all came under the hood, so it would be no worse.
Or maybe what you have is working fine, or just a few short steps away from working fine. OTOH, it's sort of old tech, so if it's NOT working maybe you'd want to change things up.
In the long run, you might also want to have a larger house bank, which would mean moving it (and a whole 'nother project scenario!), but I get that you are just sorting out how you might use the rig, and that may never even come into play.
If it were me, I'd give the current setup a chance, but it wouldn't take much for me to abandon it and start fresh. That's just me though.
In any case, we're talking about some very basic and clear functions here. THAT part is not confusing. What's somewhat confusing (but ultimately I think decipherable) is figuring out what you had stock, and what you have now (and whether you want to stick with that exact implementation).
I'm adding a photo here, just to show you what I have now. I've changed a bunch of things around, and this is just a temporary working setup while I make some further decisions, but it gives you the idea (more below the photo).
Now, you wouldn't necessarily do just this (this is under my couch, along with three AGM house batteries), but I just figured you could at least see a different setup.
The plastic "box" half out of the photo on the left is the main battery fuse. So a wire comes from the house positive to this first (safety), then on to the switches. One wire goes to the red switch, which is my house disconnect (disconnects all house loads from house batteries). The thing partially out of the photo on the right is a DC fuse block (house loads). The red switch either allows the fuse block to be connected to the house battery or disallows it.
The black switch is taking the place of your two solenoids, and of the Surepower 1315, and of a Blue Sea 7622 (which all do about the same thing). The wiring is simple: A cable goes from the positive terminal of the start battery, through the fuse on the left (safety again), to one of the terminals on the black switch. A cable goes from the other terminal on the black switch to the positive terminal on the house battery (the negatives are connected via chassis ground, as usual, so mostly the positives get talked about and shown).
When the black switch is "on," then the two banks are connected (house and start), and I can jump start, and/or the Ford alternator can charge the house bank. When the switch is "off," then the two banks are separated, and neither of those things can happen, but also neither can I accidentally run down the start bank when camping. Your solenoids, the Surepower 1315, or the Blue Sea 7622 do the same essential thing, with the Blue Sea 7622 being the best and most efficient (more than the 1315 anyway).
The small red and black wires on the right side of the black switch are just little LED lights to remind me when the switch is "on." A red flashing LED in the coach (since I want to have the switch off when camping), and a green solid LED on the dash (since I typically want them combined when driving).
One change I will be making in my permanent setup is to have the black switch accessible from the driver's seat. Much easier that way.
With either a Surepower 1315 or a Blue Sea 7622, or your two solenoids, they basically go where the black switch is. Then they add smaller wires for the "little" dash switch, a light, or etc. Big cables provide the function, and small wires give the extras.
I don't know if this helps or makes it more confusing. If more confusing, then feel free to ignore!
Too, we can just go back to the simple task of seeing if your current setup works, and/or fixing it so that it does. I'm not "set" on you changing things at all - just thought I'd show you another setup.