OBDII scanner / software reasonable priced?

The newly running White Whale III (01 5.9 2wd auto) has a problem, the PCM is not activating the OD/ converter lock.

Anyone have good ideas on a scanner/ dongle/ software that will diagnose transmission problems reasonable?
Out of curiosity, how do you know the PCM is the problem? My 2000 5.9 does the same thing and would like to correct.