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Never done an E85 system myself. Aside from the jetting issue that you already seem to be aware of, there's a few other things that need to be addressed.
Fuel lines and fuel pumps will need to be compatible with ethanol, as that stuff is rather hard on older parts.
The engine itself shouldn't need any special mods to run the ethanol, and the 15% gas content helps to address the cold starting issue seen with 100% ethanol or methanol, but there could be minor problems during extreme cold weather.
Once the fuel system has been addressed, and contains ethanol compatible parts, and the carb jetting is right, it should work just fine most of the time.
Of course, there is the whole lower MPG issue, and you also seem to be aware of that.
In order to capitalize on the higher octane of the E 85, the motor needs higher compression. It will run ok on it, but the mileage will suffer due to the compression issue. You can turn up the timing a bit though. The only concerns with the fuel system is natural rubber and some plastics. If you use neoprene seals and lined hoses, it will be fine. Goodyear sells a fuel injection hose with the blue lining, that is what you need to deal with the ethanol. Autozone has carried it, but seems we get mixed with natural rubber hoses sometimes for the injection hose. The steel tank and pipes will be ok, even though some will tell you it has to be stainless, I have yet to see rust in any of my tanks, and my whole family plays around with the E 85. I have run it in my 83 T/A with an electronic carb, as well as many injected vehicles.
The volume of the pump shouldn't really be an issue, especially if you don't have a feedback line. You won't be going through that much more fuel...
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