I went with ATF just because of the cost factor and this being my first time doing fork seals. Guess I will run down to the local shop and have my buddy look at it before I do anything. He can give me his opinion on if my little klr is "normal" or "spongy". Then if he thinks I need to stiffen my forks I will purchase a heavier weight fork oil (the real stuff this time). Thanks for the input Bryan!
I had a suspicion that I would have to change out the oil but I wanted to hear it from someone else first.
I would still like to hear about the effects of the fluid level on the dampening rate.
I'm going to head to the dunes in just a few hours. If I don't hear anything by the time I leave its no big deal, I'll just run the bike as is. Thanks again for all of the input so far.