I went out and checked everything. Good ground wired directly to the brakes from the truck. With nothing hooked up, blue shows 12v. With the trailer hooked up, voltage drops to barely measurable. With the controller manually engaged, I now see .25 volts and you can hear the brakes lightly buzz. I checked the voltage feeding the brake controller and it is fine. I hooked 12v directly to the trailer plug and the brakes lock like they should. At this point, I am fairly certain the brake controller is due for a replacement.
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