Sounds to me like you got set up perfect for a 6 bolt swap
. If you have the time and the green to do a 6 bolt swap I would strongly recommend it, but <350 should be fine on a 7 bolt.
I would go Clevite bearings all the way, I've actually never heard of anyone recommending anything but them (unless you count Definancy's above post). Doing a full T belt job would be good as well. I would either get a micrometer (or borrow one), a straight edge, and a feeler guage and check all your clearances then have what needs to be machined done. Thats what I am going to be doing for my rebuild. You could just pay a machinist to do it, but I dont trust anyone but myself. IMO a gasket it a gasket. If you check on ebay you can get a full gasket set for like $60 shipped I think thats the way I will go. Go ARP on rod and head bolts but go stock for mains. I've actually heard bad things about ARP mains unless you are running lots and lots of horsepower. If you do it yourself, just make sure you assembly lube everything and check, double check, and triple check clearances and be sure you have a quality torque wrench. I'm looking forward to my rebuild, it is going to be nice to start completely fresh. A nice, pretty black engine, cleaned up engine bay missing all the cluttersome shit like cruise control and emissions, shiney IC pipes and downpipe, and the mean growl of FP2's. Mmmmmmm, I am sooo fucking excited to get that beast done! Oh yeah, if you want cams now is a good time to do them.