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Ok final update on this situation (I hope). I got it back from the mechanic late Thursday and he told me that a couple of the hydraulic lifters had collapsed and weren't holding up, so he put the standard lifters with shims and adjusted everything to the proper clearances.
It was a noticeable difference right away. Now I know the 2.8L is no powerhouse engine, but it seems a little snappier on acceleration and a bit smoother. It took the big hill without a hitch - climbed most of the way in 5th and only had to downshift to 4th because of a slow truck in front of me. EGTs climbed to 500C while in 5th and promptly dropped to about 400-450C in 4th. Note, this was without the boost controller installed, so that's a huge improvement from what it was doing.
I installed the boost controller after leaving the shop but haven't had a chance yet to take the hill with it installed. A big thanks to Stropp, Kimbo, TD and the others for the input. Should have it sorted out. Now it's time to start doing all the optional upgrades I've been wanting to do since day 1