[amcmike]

Well one thing to consider is saving the 326 block rather than trying to rebuild it. That way, there is no concerns about possible damage in the future. But, I'll assume you've already considered that.

I'd have the block bored over the minimum to clean them up. That way, you still have plenty of meat in case of future rebuilds. If a .010 doesn't do it, a 5/32" overbore would put you at a stock 350 bore. Also, zero deck the block.

The later model heads are better. The open chamber heads are more efficient than the earlier ones (find '68 and later). A set of 350 heads would work well. A set of 1968 code 17, 1969 code 47, or 1970 code 11 would work. Have them milled to achieve about 9.5:1 compression. Unless you really open up the bores, the cylinder itself will shroud the valves, so no need to run more than a 1.96/1.66 combo. A multi-angle valve job and some bowl work should be plenty for a mild 326. I wouldn't open up the intake port to the felpro intake gasket size, as that would remove more material than required, slowing the velocity and reducing torque. Either make a template off the intake manifold and match that to the head, or find an intake gasket that is closest to the dimensions of the intake and match both head and intake to that gasket. The SCE 128101 would probably be close. Summit has port dimensions for all intake gaskets on their website. Have the pushrod holes elongated for use with 1.72 roller rockers, and converted to threaded stud mounts.

Camshaft, what are you willing to spend? A hydraulic roller would really wake things up, but not a cheap retrofit. Assuming you're going less expensive, the Summit 2800. One of the builders on this site advertise Scorpion 1.72 ratio rockers for Pontiac to give the cam more lift at the valve.

You should end up with an engine with great street manners, and a wider operating range.

Note, if you did step up to a 4" stroke, you would not need to mill the heads to get the compression ratio within range, and the Summit 2801 camshaft would be a better choice (but keep the 1.72 rocker arms). I would probably also do a half fill with hard block to give he bottom some more stability with the longer stroke.