I finally found the specs for my GM crate motor.  I changed out the plugs, re set the initial timing to 10 degrees btc, GM Performance Parts calls for not using the vacuum advance, so I plugged them off, but I am still getting a slight exhaust burn.  I have also removed the catalytic converters and all smog components.  With the vacuum advance off, I am only getting around 27 degrees btdc with the engine reved.  I am going to put the vacuum advance back into the picture and see what that does for the total timing and exhaust issue. 

give me a little more info on your problem, is this a new motor, does it have any break- in miles on it  grayish- blue color smoke is a sign of oil buring,you should have the pvc valve connected in one valve cover and connected to the carb,the other valve cover vented to the air cleaner or with a vented cap like you have it, its better to the air cleaner, if not presser will build up in the crankcase causing oil leaks and oil burning, when you rev time a motor the vacuum adv. is suppose to be disconnected, after getting your total adv. which should somewhere  34-37 degs. at about 2500-3000 rpm, lock down the dist then you reconnect the Vac. Adv. to a Timed  Vac. port on the carb. the vac adv. is for off idle to cruise, after the motor is running 2500-3000rpm the vacuum advance drops off and its all mechanical  after that, you can not rev time you motor with a standard timing lite unless your vibration dampner is degreed, in which case you have to use a "dial back" type timing lite. anips2009-07-06 10:59:54

The motor is new with about 4600 miles on it.  

the pcv valve and breather are ok, the 10 degrees stactic initial timing is a good starting point, the timing tape on the dampner is ok just as long as 0 is on the dampner mark, did the distributor come with the motor installed and how many rpm did you take the motor up to get your 27 degres. BTC when rev timing it? anips2009-07-06 21:57:14

I thought of another thing that might cause you engine to smoke, as I was looking at the photo of your motor I noticed the transmission dip stick, you could have a hole or crack in the diaphram of the trans modulator, it runs off of engine vacuum, it hangs out at the back of the trans with a steel line and a rubber hose connected to it, you could be drawing trans fluid into your motor.

the motor did not come with the distributor installed.  The tape is at 0.  I put a manual trans in since this photo.  I am going to check the rpms at 27 degrees.  I dd not rev time it.  I set the initial then reved it and saw the 27 degrees, but I did not note where I was, but I had her whinning pretty darn good.  I will push it to 3 k today and get back with you.

OK, I reset the choke and the motor was running fine and not smoking at normal operating temp.   Initial timing at 10 degree btdc.  I checked it with vacuum advance and carburetor vacuum port plugged off and it barely moved when my wife ran to 3000 rpm.  The other day with the vacuum advance hooked up, it went to 27 degree btdc.  I did not have anyone around to tell me the exact rpm, but I cranked it up, I'm guessing to 2200-2600 rpm.  

when you rev timed it with the Vac. adv disconnected and the wife ran the motor to 3000 rpm and the advance barely moved thats telling you that mechnical advance i.e. springs and weights are not working the way they should, either the weights are too lite and the springs are too strong , or they are bound up or not lubed with grease,.....when you did it by yourself and you had 27 degrees thats telling you that the vac. adv. is working but the mech. adv. is still not working because you want a total of 32, its still not right, the dist. doesn't work that way....here is how it is suppose to work....the distributor should have 22-27 degrees "built in" to it with the springs and weights in your case its 22 degree's and it stays that way no matter if the engine is turning 10,000rpm, when you add your initial static timing of 10 degees  that gives you 32  degrees total,  because the mech. adv. doesn't start to come in until maybe 1500 to 2000rpm the vac. adv. comes in at off idle to cruise or until the mech. adv. is about all in, at that point the vac. adv. drops off and you are now running on total adv., .....if you drag race and you are leaving at 2500 to 3000 rpm  a "all mech" setup works fine, but you don't do that on the street with stop and go driving  so you have to have a vac.adv. for smooth transision from idle to cruise, with the motor you have you should be using the vacuum advance,...try to put a stock HEI in  and see how it works, get your money back from Jegs, I don't know who's dist. you got but people have had trouble with cheap imports, if your timing is not right and if the motor is running retarded it will cause the motor to run hot, any of your buddy's have a good stock HEI layin around, if not go to.. WWW.PERFORMANCEDISTRUBUTOR.COM  watch the Street Muscle Action Vidios 1 and 2 it will explain  everything you need to know and some things I missed, it takes a while to load but worth it, they make a street and race model the street version is what I run,  their electric tack models are about $250.00  anips2009-07-11 17:37:41

I have my original stock GM HEI in the garage.  I will swap them out when I can and get back with you! 

Thats good news, if the Jegs dist. is workin for ya, leave it in no need to fix something that aint broken, "I garown-t"