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Those two switches are for entirely separate systems. The interlock switch is for the starter motor. If the starter interlock is on, the starter will only run if the clutch pedal is down. The interlock's meant to stop you from running into parked cars/garage doors/etc if you forget it's in gear when you try to start it. With the interlock switched off, you can move a disabled vehicle a short distance using the starter motor, or reach in and fire it up without getting into the driver's seat if you're sure you've got it in neutral. I've read you can also use it to drive out of precarious situations off-road where you don't want to slip the clutch and risk rolling backwards. The switch for the adjustable shocks powers a little motor/solenoid at the top of the shock, which opens or closes a bypass for the piston inside. There's a motor/solenoid in the can on top of the shock that opens and closes a valve to allow oil to bypass the piston. You should hear a little click from the can when you switch settings. Very simple system. It might've even done something when the truck was new. I couldn't tell the difference from the driver's seat in my '95, but the truck was a little harder to rock from the outside when the shocks were in sport mode (valves closed). If the PO replaced the suspension, that likely included the shocks, and they likely used regular non-adjustable shocks rather than trying to track down the originals. That's what I did on mine.

Dusted off and bolted on the awning to keep the kiddies cool today

He actually has it backwards on the interlock switch. When it's off you have to push the clutch pedal in to start it. When you turn the interlock on(momentarily BTW) then it will start without the clutch being pushed in. It can be helpful in many different situations that you can find, but thankfully I haven't had to worry myself. As for the adjustable suspension switch sport is meant for OffRoad and Touring is meant for street. Touring will be softer and sport will be stiffer(as long as the shocks are the electronic and aren't blown out). I myself do not have the adjustable shocks anymore. The rears were no longer available and the fronts cost a bit. I decided to go with Old Man EMU shocks on mine along with the Old Man EMU coil springs and Sway A Way torsion bars. In general it still does very well in the OffRoad and on the street.