TxJim, second picture, red arrow is on the "wet" side of the clutch housing. The larger picture Gumbi posted shows the mount for the transmission pump and the front support bearing for the PTO shaft. Gumbi also stated the other end of this passage is where the steering column mounts.Gumbi
It's been at least since 1987 that I looked inside the clutch housing of a JD 20-55 series utility tractor. I think 1st photo shows hole for return oil where power steering housing bolts to top of clutch housing. 2nd photo showing your red arrow & if opening was connected to power steering return oil galley appears that oil would return in clutch housing where dry clutches reside which would be a big No-No. Is the hole that red arrow is aimed at open or plugged? I think clutch housings are identical for manual & power steering tractors. What's the casting # on your 1020 clutch housing?