This is a common problem even with the factory exhaust. The '73+ steering link flipped the joint so the nut on the pitman was on the bottom and turned the outer tie rod end 90°.
Assuming that the pitman isn't damaged, you don't have a lot of options. You could shim the top bolts on the steering box mount, but, that will effect your bump steer too. Since you have a '67 K-frame, swapping to a '73+ steering link isn't an option.
Looks like I may have to find a local welder/fabricator/muffler shop to do a custom exhaust section to clear it. Any ideas to how much someone like that would/should charge? I can't imagine it would be much with mild steel.
