Just a thought.
Have you tried to run it with the media cage only, no media in it?
Guess you have checked your hose set ups and found no obstructions.
Don`t think your motor is bad.
They either work right or not at all.
I would try setting up in the garage with a bucket of water.
Put the intake in the bucket and suck on the return line.
If you can get a siphion without it running your system should run.
Maybe while you have a siphion running, plug it in.
See what happens.
I have run the unit without media, just the filter padding-wrapped cage and still no dice.
I tried again this morning: I set up the canister normally, with carbon media and filter pad, but without water. As predicted, the impeller spins fine with no water burden. I then slowly bled water into the canister by opening the quick-release valves. The impeller was spinning fine until about half-full when the clicking sound of a magnetized, but non-spinning impeller started. It really just seems like the strength of the electromagnet in the motor is not enough to get the impeller moving. Very strange as it has always worked in the past with the unit's original magnet.
Regarding the advice to run a wet "dry run" in the garage to make sure the system even CAN run: a good idea and I think mine does pass the test. I currently have it set up normally, but instead of the motor turning the impeller to pull water through the filters, I have a small, in-tank pump (old unit that I naively thought would be enough to clean my 30-gal) from which I removed all filter material. It's output pipe fits nicely into the Mag-350's input and is able to push water through such that the Mag-350's output line almost looks like it is functioning normally. The pressure is a bit less, but it works.
I suppose at this point I should just call Marineland. I hesitate to fix the magnet to the impeller with glue (to eliminate the 1/8 turn of play mentioned earlier) as 1) I really don't think it will achieve much and, 2) that may cause problems if I want to get a free replacement part from Marineland, if that option arises.
Thanks for listening. I'll update if I can get this problem solved.