Spout Out, Runs like a champ! Spout in, it sputters and idles rough... Help?

Well, it you guys look at my previous posts...

http://www.stangnet.com/mustang-forums/842247-misfire-woes-i-need-help-please-read.html

http://www.stangnet.com/mustang-forums/842438-where-does-fuel-injector-get-its-signal.html

I think I've finally narrowed my issue down to a couple of issues. I have since installed a pair of grounds to the vehicle. This definitely helped with any voltage issue I may have had. But, the car still ran the same. The car would sputter at startup, and feel as if it were misfiring. Harvey (Davis3) and I decided to check timing. We removed the spout, and started her up. The car ran like a champ! We rechecked timing and she was dead on. We then reconnected the spout and she started to fluctuate in idle and at times stall out.

We connect the timing light to the car with the spout connector installed and see the timing anywhere between 30-40.

We ran for any codes, and did get one in regards to a spout grounding issue. I forget the code. We got that code about a week back. We didn't think much of it since we figured that code came about when we were timing the car. But maybe it was trying to tell us something?

Has anyone had an issue with this before?
 
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30-40* at idle. Is it not steady? And that's too much advance for idle as well with the spout in. The PIP signal is sent to the PCM and the PCM sends a signal to the TFI module to control spark timing. Removing the spout breaks the PCM to TFI signal. I suspect that the PIP is likely to be the source of your problem.
 
in your other posts we asked you about the pip sensor, where did you get it from ., where did you get a new distributor? because of the replacements at autozone do not change out the pip sensor and you could have gotton bad ones back,

Wonderful Autozone brand. The two that I have gotten do appear to be new. I'll swap them out again and recheck. Thanks for the advise everyone.

Also the Ignition Control Module has been swapped with a known good one.