Re: What to do?
Mike: I say rebuild, but not for 3000 bucks.
What you need to do is find someone like me close to you: A guy who does it for the hobby, not a living, and is proud of his workmanship.
For example: being a 6 or 8 cylinder engine, I would charge 600 for labor plus any parts needed. Obviously if you wanted or needed all cylinders overbored, it would cost more in parts. So at 125 per piston and 50-60 bucks per cylinder to overbore, you figure the price. Then add 50-60 bucks for a gasket set, and 30 for a water pump impeller and you would have a reasonable estimate of cost.
When someone comes to me, I pull the heads in front of them and show them what problems they have. I give them a reasonable estimate of cost. If they elect to have me rebuild, after assembly, I take them out on the water to run the engine with them, set the timing, and set the carbs. When they taker the boat home, we both know it is running correctly. I don't even ask--I tell them I will change the water pump impeller and lower unit oil. If I find a problem I notify them of extra work recommended. I do not have the tools to diagnose electrical ignition problems and I tell people this up front. If they have that problem, they must go elsewhere.
The Professional mechanic must pay for his overhead and make a decent salary so he must charge you more. Add to that the fact that he is usually swamped with repairs and you must wait for yours, sometimes excessively.
What you need to do is ask around your area for talented amateurs who have an excellent reputation. WE ARE OUT THERE, you just need to find us. I don't advertise, my rebuilds are from word-of-mouth for the most part. Usually I do a couple a year; this year it has been hectic with three rebuilds already and probably a few more as the season opens here in the East. More than I really want to do, but sometimes I hate to say no.
Ask your local bass club. Those guys are relatively rough on engines and would probably know a good rebuilder. If you find the right person, it will be a win-win situation.