surge at idle

[pontiacross]

my new truck (97 f350 cc lb with an automatic) wont idle smooth it surges from 700 rmp down to 500. if you dont give it a little gas when you put it in gear or come to a stop it will die and dies sometime sitting still. theguy I bought the truck from swares it is something in the transmission but I'm not sure. I swapped the ipr out with a spare with no change. unplugged the icp sensor and thought it fixed it but it came back and started doing it again with the sensor unplugged. if you rev it up a little or go down the road it runs fine. I have AE and it dosent have any codes. the only thing I see that is odd is the lowest accelerator position gets is 9% and max is 75%. however I dont know much about these automatics so I dont know what to look at there. I also checked fuel pressure and it is 55-60 at idle.
it dosent seem to be missing its just a slow surge up and down

I took a video it is hard to hear untile the end

http://www.youtube.com/watch?v=f-9Hhcfnrjg

on my computer it is showing, icp then ipr% then rpm
and under that is throttle position but I am not touching the throttle
specs on the truck are
h2e turbo
swamps injectors but dont know what ones we think they are hybrids with small nozzles
swamps tunes (it dose it on every position)
looks to be a stock hpop
head studs
everything else is basicly stock as far as I know

any ideas?
Thanks

 

[JLDickmon]

unplug the throttle sensor and see if it still does it.