Crenwelge, the float was properly installed and the pickup was clear and the set screw was in the hole like it should have been.

As far as the distributer engaging the oil pump; I have two dizzies, both from 1959 270s, the one I used has vacuum advance, the other does not. I used the mounting bracket on the non vacuum dizzy to double check the depth of my vacuum unit. Also, when I used a third dizzy shaft to pre oil the engine, I marked the depth on the shaft before I removed it from the block and used that to TRIPLE check the depth. I think I can rule out an improperly installed dizzy. That does'nt make it any easier, I still failed the rebuild some how.

I'm going to pull the engine back out and tear it down over the next few months. See if I can learn something about what went wrong. And as money allows, I will have evrything remachined as needed.

I appreciate everyones help on this. When I learn anything new I will update.

Now to post a want ad frown