So after a valve adjustment I was over the car listening to make sure there was no tappets hitting and making sure the gaskets were sealed. All of a sudden I smelled plastic melting and before I could blink white smoke POURED from the harness and coil compartment. I knew it had to be something I moved and once I got the car shut off and battery disconnected I found the issue. The Dulcey alternator field wire had come free from the electrical tape harness wrap and grounded against something. The wire was foolishly cut right where the alternator bracket was but it wasn't cut at the blue plug in the coil compartment per the TB (nice touch DMCH you do this on all your refurbs?). Had I not been right on top of the engine I doubt I could have stopped it with no damage. Why a bare hot wire was just left with no cap spanning 4' in a wiring harness is beyond me. Why was it just not cut at the plug itself?? Fortunately the only wire damaged was the wire that should have been removed to begin with and melted electrical tape which I will replace with a cloth wrap.
Anyway I am making the best of it. I removed the wire and cut the plug side of the wire and removed a good portion of it too. I also decided to take this opportunity to remove the alternator harness from the main harness and just run a much much shorter 4 gauge wire from the bulkhead to the alternator. Probably will shave 2.5 feet off that line.
The rest of the harness will be wrapped in a more aesthetic covering and tucked under the manifold to be out of sight.