So the two playfield magnets work but not the snagger pickup magnet? Check the connector under the playfield and reseat it. The wires should be brown/violet and brown. The way that those wires run and bend inside the snagger it is possible that one has broken, but I'd leave that tear-down/rebuild until you have exhausted all other possibilities!

Check the fuse under the playfield by the magnet. 3A 250V Slo-Blow.

Got an update? You back up and running?

Though that belt looks broken it should still work. If you are going to rebuild the snagger then replace it. I'm not sure what else to tell you other than to go through the magnet/snagger testing procedures in the manual to nail things down. That's what I had to to do and it got me a working snagger in the end. The only thing not in the manual is that I had to bump up the magnet fuses an amp to keep them from blowing during repeated testing.

Nice catch on that mushroomed tooth, J-Freeze. I never thought about that in conjunction with a bad drop target switch.

One other thing - The playfield magnet that holds the ball for the snagger to pick up is triggered by the 'Inner Loop Gate' switch #37 as it comes down the inner orbit from the magnet at the top of the playfield. Have you made sure that gate/switch is working correctly by using a ball rolled through it in switch test?