Please help Me.."Overcharging"?

.07 drop is fine, the less the better. Does not matter on a digital meter which probe is which, the meter display should show a neg sign when reversed.

I'd check that you don't have a brush holder problem. If the green wire or the brush connected to the green is grounding it will "full field" like that

Okay, I just double checked. It was .078-.080, was jumping. While connected.
When I take the blue wire off the ALT, the reading is .03

The green wire I replaced completely, since it only went to the VR and directly to the alt.
I used new wire and put on a new female end and plugged it onto the male spade on the alt, and spliced to the VR pigtail wire.
It isn't doing it all the time. Its nutty. Is this a bad alternator they sold me? As inside as your stating?

Also,....my old alternator didn't do this. My pulley just broke. It was fine last summer. Until my pulley broke and I had to replaced the ALT. thats when this started. I am thinking you are right. Where the green wire hooks onto it, something must be bad inside the ALT??? I honestly didn't have this problem before replacing the ALT.
I just called Auto Supermarket. They are getting me a single pulley that should be on there, instead of the double pulley he sold me. But is sounds like a bad ALT. He also said something about an internal fan...I dunno