Hey Rednesss, after taking my engine to the machine shop, found out 2 cylinders had previously been bored out of round. Had scuffing on the piston skirts.
I never got to the adjustment problem. I had the machine shop put in a roller cam set up. I have all brand new heads and top end going on this week.
Sorry I could not be more help. Everyone who responded to this post, has given great feedback to help narrow down the problem. I hope one of the ideas gets you an answer. Good luck