3-2 Downshift Control Solenoid Valve and the 3-2 Control Valve
WARNING: This page is about a different car, the 2007 GMC Yukon XL, 2007 GMC Yukon, 2007 Chevrolet Tahoe, 2007 Chevrolet Suburban, and 2007 Chevrolet Avalanche. However, it is still accessible from the selected car via links, so may be relevant.
In first gear the solenoid is OFF, the AFL fluid is blocked by the solenoid, and the 3-2 signal fluid exhausts through the solenoid and the spring force opens the 3-2 control valve.