Only the one cylinder shown, or all of them?

The "If it were mine" thought is: tear it down, see if the cylinders can be cleaned up with a rehone, and have the pustons skirts coated if you want/need to reduce the clearance. Or bite the bullet and take it to tbe next oversize required to make it right.

This a good example of why I don't trust machine work or assembly procdures beyond than the small number of shops I deal with.