At this point I don't think you a have choice because you probably can't pull out the Okie bushing and file it down.
The picture looks like the Okie bushing is sticking out more than a 1/4".
You should turn the rear wheels to see if the propeller shaft rotates freely. Is the wiggle gone?
Without the ball housing on, bolt everything together, rear yoke, U-Joint and front yoke. Now look to see how close the rear yoke flange is to the Okie bushing. Check attached photo.
