Re: What a joke
I looked at your posts, the problem is your motor may not be that common among users here, if most are like myself, they run older motors. My newest motor here is 22 years old.
With that said: If the block is being cooled, and your not seeing water out the exhaust and you are getting water out the tell tale, then are your running it on muffs or in a tank? Muffs simply may not supply enough water to see it out the exhaust?
If the w/p impeller was old, then the insufficient water that may have been getting to the block would be overheated in that there most likely wasn't enough water there to cool the block sufficiently. Now your pumping more water but still may not have enough to blow excess out the exhaust bypass port.
Did you try it in a tank? Most of my motors won't even put out a decent tell tale above idle on muffs, let alone seeing much out the exhaust port. Other than to flush out a motor after a day in the salt, I don't run them on muffs, and its usually not recommended to run any motor above idle on muffs.
Also, did you check the basics like the thermostat, does the motor use a poppet or bypass valve that could be stuck?
(Especially if that's a saltwater motor).