So you should see 5/32" depth when balance on fully. Not 3/8 or 12/32" that you see now. So if the balance goes on an additional 7/32 does that line up the pulley? If not you might have to use a different pulley, either crank or water pump. Of course that may change every thing like alternator and power steering.
That is a wide damper with marginal inset. So it will push crank pulley farther out towards radiator.