Sounds reasonable to me. The failure could be an internal intermittent short that is heat related, i.e. insulation breaking down or thermal expansion causing the short to occur within the solenoid's can.
This part should not cost >$200, and as others have said, should be easy to find a suitable replacement for less than $20. Continuous duty, 12 volt coil, and a higher amp rating on the contacts than the load required. This type of contactor or solenoid is in common use in golf carts etc. Napa Auto parts, McMaster-Carr on-line, or Amazon:
Amazon.com: Cole Hersee (24059-BP) 12V Insulated SPST Continuous Duty Solenoid: Automotive
that's a 65 amp 4 terminal one, which means the coil has independent terminals. They come in a 3 terminal variety too, with one end of the coil being internally connected to either the input or output contact terminals (to make the 4 terminal version work as a 3 terminal, just add an external jumper from one of the coil terminals to a contact terminal.
It's common to add a diode across the coil terminals (reverse biased, banded end or cathode on the positive coil terminal), this "flyback" diode will suppress the "inductive kick" or reverse EMF when the voltage to the coil is switched off. Otherwise the high voltage spike, typically several thousand volts but low current, generated by the collapsing magnetic lines of flux can damage other components over time. A 1N4001 or similar works fine for this - Radio Trash "you have questions, we have blank stares" should have 'em.
Good idea to slather a little silicone grease, Dow DC-4 or similar, on electrical connections that are exposed to the elements, it'll prevent prevent corrosion and resistance build up in connections, keeping the gas tight. Cheap insurance.
bumper