wild, you may not have caught it, but like ezeke suggests you probably want to re-route your hose to keep air out of the cooling system. Just get a few of feet of 5/16 hose and re-run.
It should leave the block and go up over the block, then back down again to the cowling bulkhead making a big upside down U shape. The way its run now you're just putting air into the cooling jackets.