Bry, I don't have the 97 Riv service manual, but do have the 96 and 98. The sensor at the rear axle, when detecting a higher than normal riding position, should energize a solenoid in the head of the air compressor to exhaust pressure built up in the shocks. This will lower the rear end until the sensor detects a normal suspension level and then cut off the solenoid.
I can scan the auto level suspension chapter from one of these manuals and send it you upon receipt of your e-mail address. The attachments will be probably in the 2-3 Mb range.
The O2 sensor has no interaction with the suspension system according to the shop manual.
What has been, can be again. (Bob Wills, 1942)
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