To start back from the beginning. If your engine starts up and stays in neutral unit you apply throttle, most likely it is not a grounded motor lead. Should test this in both directions without applying throttle.
You can always lower your input voltage to the TIU to around 12V to prevent a run away train going too fast and derailing while testing.
As far as speed control, if an engine is in neutral and you apply throttle and it immediately goes to full speed the PS-2 board is not getting tach reader feed back.
That can be because the reader gap is too large and it can't count stripes. The flywheel is faded or dirty and it can't count stripes, the tach reader has failed. The tach reader wiring has an open. This wiring issue can be at the tach reader (broken solder lead), pinched wire, bad solder joint at the pcb on the back of the steam engine, broken wire lead inside the tether, broken lead inside the tender. Or a bad chip on the board.
The wire feeds are Gray 5VDC, blue PCB Ground (NOT Chassis), and orange tach reader return.
So the safest way to check the wiring is to remove both shells, plug the harness into the engine. With the engine sitting on your work bench unpowered; use a meter to measure continuity at the tach reader gray to the gray wire on the tender board connector. Same for Blue and same for orange. IF you have good continuity, it is either a bad reader, the gap, or bad circuit board.
Since you had some pin solder joints fixed examining the gray, orange and blue to see it cold solder joints too, might fix this problem.
I do not recommend testing voltage live, unless you are skilled at electronic measuring. A slip of the probe and you can easily damage the PS-2 circuit board. G