Sunday update, hot off the press…
Found this link:
http://www.gmtruckcentral.com/articles/distributor.html
and followed directions on distributor position. Now starts and runs without P1345 fault. Engine put up a P0341 fault for cam position sensor fault and we replaced the sensor. Now no faults and idles nice when first started. After a few minutes and some tapping on the gas pedal, trying to get it to run in gear, it runs really rough and smells like gas near the exhaust.
No fault codes yet. It reminds me of when my EGR on my TBI 95 chevy truck was bad. Might look into the EGR now.
It seems like the ignition and cam timing issues might be past us. Unless the cam sensor has to be “learned” by the ECM.
I will update as we learn more.