Thanks for the comments and help. I'm going to get this right if it kills me!!! Anyway I'm taking my time to get it right so any comments are welcome.
I'm talking with Dave and I'm getting a replacement adapter plate from him. FYI: I'm not blaming anyone but somehow, I'm missing a very obvious point in this process of installing this plate and not having it leak. I don't get the gasket part. Dave has been great with his time to help me. I'm the one missing the boat some how... I'm going to get this right if it kills me.
Look at these 12 pictures and add any thoughts you might have. Link:
Water Pump Adapter 
