Perfect! You are Stan the Man.
The capacitor did the trick.
Appreciate the diagram and testing you did. I just happen to have another Radio Shack FW bridge rectifier and 1000MFD capacitor for the other block signal (it's a 3-over-3, so two signal circuits are needed). I bought a few more back in the day, probably 15-20 years ago, thinking I would use this other block signal on my old layout. Never did. It's a bit hard to fasten the wires into the screw terminals of the relay time module. I might solder thicker gauge wire to the leads of the block signals so they fasten better to the screw terminals.