I have seen this engine run, and from what I can tell, the VW lifters work just fine. Oil pressure is good. No other work needed. Just soak them in oil and try to prime them, then drop them in. Big savings in valve train weight. I don't have a part #, but a search should pull it up. There were a few good discussions about them previously.
As far as the pulley goes, look closer, it is a v-belt pulley. You're right, a v-belt wont work on a serpentine pully.
As for cutting the valve guides, good idea. We didn't think of it. Every little bit helps when you're trying to get this engine to breath better, but as others have mentioned, the weak link in the intake system is the cams. Too much $$ to upgrade the head with new cams. This engine has about $1600 in it, including the M44 crank, rods, and pistons. Cams would have cost another $750-$1000. Didn't make sense.
Eric installed the Mark D 93 chip this past week. And he now has about 1600 miles on the engine. He says it is pretty awsome. He has really been babying it to break it in good. He's about ready to switch over to synthetic oil and let er rip. We'll post some times when we get em.