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i dont think the stock fuel pressure will work with the stock k8 good, i could be wrong

Yes, i think its a good idea that your fuel might be insufficient, someone here may have done the swap & tell you if the fuel pump was the problem.

My first guess would be the timimg, get an old timer to do it by ear and then see if you can improve on it by gun

I believe a qualified mechanic can adjust your OBD II for optimum performance (Lucky you, i wish i had OBD II in mine).

Bad fuel system wiil usually run great & bog at higher RPMs.

good luck

Sry, I mean higher revs under load (like at high speed).

If your car is reving from 1000-1500 there are a few things that could be causing that.

1) Check for leaks in the intake
2) Set idle
3) Set TPS

Does Jumping the 10 Pin to ground work for setting the TPS with an OBD 2, and the Pin schematic off the Diagnostic Box is gone... So not to sure which is what.. other than the surge though, the engine is working great. I got the Cruise control working again and a few other small issue's worked out.

TPS has nothing to do with TEN and Gnd. On the LH side of the TB is a black plastic thing with a plug in it. Remove the plug, loosen the two screws a little bit and set the TPS. I've posted this proceedure a few times so searching it should be easy.
You didn't mention setting your idle (top screw on the TB). Jump TEN and Gnd turn it in untill your engine starts to die then out untill you reach 650 rpm. If you screw it too far out you'll know because your engine will be sluggish on acceleration. 3.5 turns is usually max. Once you remove the DIAG jumper your RPM will go up to 700. I'm using the stock FPR right now and it's fine, eventually I'll splurg for an AFPR. The KL02 VAF is the correct choice but only for a 96. 95 and down need the JE50. Cheers

Edit: TPS Adjust. Connect ohmeter to 2 bottom pins (BR and BK/DB) and you should get continuity. If not, loosen 2 TPS retaining bolts and rotate until continuity has just barely been achieved. Semi tighten 2 TPS bolts.
Insert .006" (0.15mm) feeler gauge between the throttle stop screw and throttle lever. This should not break the continuity. If it does break continuity, slightly adjust TPS rotation again to regain the continuity. Insert the gauge in and out a few times to verify. Insert a .015" and again confirm continuity. After confirming continuity insert a .020" (.50mm) feeler gauge. This should now break continuity. If not re-adjust TPS rotation again. Re-confirm by re-inserting feeler gauges.
Recheck .006" .015" and .020" If it took you less than 15 mins to adjust the TPS you didn't do it right, start over.
Tighten down TPS retaining bolts.
Re-connect TPS connector.