When you adjust the rocker arm, back them off till you hear the tapping. Then adjust to the point where just don't tap. Then turn in 1/4 turn increments to ONE full turn.
I don't know if I'd tear into right yet. It's a runner right now if you clean the pushrods. Do the compression check. Your oil pressure is good. Look for a 292, your headers and intake will work on it.
I'll be in Bakersfield for the weekend "Goodguys 45th March Meet".
Larry
68 C20 327 daily driver
63 C20 292 Camper truck
65 C10 ? Custom Cab AC,PB,PS,$flasher