Confused what to do with a 5.9L serpentine setup

I do not understand the issue with the terminal being too close to the valve cover. This photo shows a completely stock set up from my 99 5.9 R/T, which is now on my 75 Swinger. The bracket has a boss that spaces it out 1" from the head. As you can see the terminal clears the valve cover with extra space. Maybe someone cut off the boss. Also, I have the underdrive water pump pulley from March, which is 6 1/2" diameter. The stock water pump pulley is 5". Of course it all has to line up for the belt. So, this is just FYI.20210316_091305.jpg