Thank you for the fast replies! I am ready to get some 5" shackles right now. Your advise will be heeded! I just use the jeep for daily use and some beach fishing. I'm not crawling rocks, just pot holes.
I do have a very slight vibration at about 50MPH. But, as I mentioned, I do have a bit of play in the TC tail cone, and slight play at the u-joint near the TC. I hate not knowing what u-joints these are, so I will probably just pull the shaft and take it somewhere to get fitted with new joints. Then at least I will have a part number for next time. I will be putting new guts in the TC case while the shaft is out.
Yes, the pinion does look higher than may be required. I'm not sure how to approach this yet. I don't know if I can lose the Drop Kit on the Transfer Case, yet. I really don't what to cut the hood, or re-locate the engine mounts. The engine has a Edelbrock RPM Manifold with a 650CFM carb on it, which I hope to keep. I had to install a 3/4" spacer between the carb and manifold to keep the heat from boiling the fuel out of the carb. I offset this gain in height by getting a 2" air cleaner element. I have already "adjusted" the air cleaner lid, so it stops rubbing the hood.
This jeep has everything I wanted. An automatic and a 5.7 liter with some guts, and as rust free as can be. Just all of the dumb little things that were done to it (or not done to it) during the swap, has my wife questioning me, if this was really such a great deal.