Quote:

The readings are 0 top and -.016 bottom. Left side was -.008 and right -.009.




The side to side will not change if you just move the housing up or down - really, how can it ?!? You're out .001 now, you'll still only be out .001 when you move the housing up or down.

To fix your problem you need the .007" dowels. PM me and I can help you out there.
As for up or down, that depends which way it's out. Your + or - means nothing to us. If the bottom is .016 further from the center then it needs to go up. If its .016 closer then it needs to go down. Either way you need the .007 dowels and when you install them you'll know soon enough which way it had to go. If you did it wrong they're easily turned with a screwdriver.