Weird rear brake noise

Do you have a compressor and an angled die grinder? If so, you could try to smooth that surface down some on the drums where the shoe is rubbing. Use some coarse pads, smooth it down some and try it again.

The rubbing doesn't seem to be too awful bad from the pics.
It sounds a lot worse than it probably is. Turning through a parking lot is incredibly embarrassing. I used a sanding disc on an air tool and smoothed it out and it seemed ok until I drove it a bit then it came back. A guy I know said maybe the bearings were installed too far onto the axle? Does that even make any sense? I figured it goes on until it hits the lip just like where the old style bearing was.