Thanks again for the info, and the photo, really helped... first time I ran with muffs, was actually last night... and before reading and seeing the photo, I would have thought... something wrong, lol... I would have thought that the water would have been a nice steady flow out of some (one) hoile somewhere... lol... but, it is working as it should based on your photo... it is coming from the bottom of the transom... looks like a leak, lol.
Also, I did not "fully" drop the motor when I ran off muffs, but probably got it about 90% all the way down.... hope thats ok? I read somewhere where folks say to drop it completely... I got "close". I dropped the nose of the boat, that raised the back another 2-3 inches, allowing me to drop to around 90%.
Started her up, let her idle for 5 mins or so and shut her down... just to kind of flush the motor a bit I reckon.
Also, quick update on when it stopped running on me that one time... seems a battery connector was loose, at least I hope that's all it was... has not done it since I tightened that thing up.
Thanks again for everyone's help! Have found to start from cold, like some of you said, I pump the handle 2-3 times, then handle forward about a third... and she fires right up (hope I don't jinx it, lol).