Terry -
One other thing that I have in that 56 - 261 that makes a bunch of difference starting at 2000 to 2100 rpm's is an Isky Track Cam. This cam puts out allot of power the higher the rpm's are. I actually ended up with that cam without asking for it. The guy that built the engine was a dirt track racer and he thought it was a good choice. The T-5 transmission may prove how good of a choice it was. That remains to be seen.
I still contend that at this stage, it's the best choice - but, if need be, it can always be corrected!
Joe