If the "warning light" is on the gauge, as a part of it, then that LED light is triggered by the movement of the heat gauge needle. Probably at about the 260+ degrees F level. Reason I suspect that is that on my '80 Newport, when it was having a serious heat issue due to a radiator leak, I was limping in to the house, stopping at every water station along the Interstate, and the needle disappeared from the gauge, and the LED warning light went out. When I got it to the hiouse and under the carport, I raised the hood and let everything convection cool. And although the valve cover gaskets on the 360 were crispy-crittered, NO burnt smell in the Castrol motor oil.
I might be wrong, but the ELB system might have had some temp input for cold start and such, but no real temp input as later ECMs did?
Just some thoughts,
CBODY67