thank you for your help!
the previous owner didn't do much to this truck at all, but one of the things he did was install a new wiring harness. Kind of a generic one, but nonetheless new. I believe the new wiring harness was "made" for an HEI and also internally regulated alternator. Basically, the harness just plugs into the hei, and the wires appear to be new.
I guess where I am confused is how the heater is "tied" into the ignition?
I am pretty comfortable in all aspects of these old trucks except one area...electrical! drives me crazy!
thanks again for your help. I am going to crawl under the dash tomorrow and do some more investigation.