Could be the 'Engine Shutoff Solenoid's real function is misunderstood.
Engine Shutoff Solenoid
"Circuit Description: When the ignition switch is in the "OFF" position, the Engine Shutoff Solenoid is in the "NO Fuel" position. By providing a ground path, the PCM energizes the engine shutoff solenoid which then allows fuel to pass into the injection pump."
Also found elsewhere in the GM service manual.
"When not activated by the PCM, the engine shutoff solenoid blocks fuel flow from entering the transfer pump inside the injection pump and stops engine operation."
Thats practically all thats mentioned about the Engine Shutoff Solenoid in the service manual... Much like the fuel solenoid, PMD, or OS, the engine shutoff solenoid wasn't included in the ON-VEHICLE SERVICE section that included virtually everything else.
Although designated as the "engine shutoff solenoid", it might best be described as the PCM's "Emergency Engine Shutoff Solenoid."
Try to think of it more as the PCM's primary panic button instead of just an redundant 'ON-OFF" switch...
The other "fuel solenoid" is activated by the Pump Mounted Driver that is controlled by the PCM.
When the ignition is switch'd "OFF", the PMD cant communicate with the PCM thus "engine shuts off" as others have confirmed by removing the Engine Shutoff Solenoid's plunger yet engine shuts off under NORMAL operating conditions.....
I stress NORMAL operating conditions because the PCM has a several other operating modes besides the more common "Normal" (open) and "Diagnostic" modes.
"Fuel is delivered under one of several conditions called "modes." All modes are controlled by the PCM."
A couple lesser known "modes" of the PCM include "Starting Mode" and an even lesser known "Fuel Cutoff Mode" that are only briefly mentioned in the manual elsewhere and not in the Control Module System section as it should be.
"Fuel Cutoff Mode occurs at high engine RPM or high vehicle speed to protect internal engine components from damage."
Now, I suspect fuel cutoff mode utilizes the engine shutoff solenoid which begs to ask. Once disabled, is the PCM's "Fuel Cutoff Mode" also disabled? In other words, does the PCM loose its ability to kill the engine should it detect a potentially catastrophic threat?
Then theres the never mentioned
"Time Out Mode" thats often misdiagnosed as a faulty PMD and/or defective IP. Time Out Mode occurs when the PCM senses any significant threat or a potentially catastrophic event.