Help me with initial Holley Setup

If it were me, I'd swap in a 3.5 PV in front, and plug the rear. You want to make sure the only fuel going in is thru the idle circuit, then the jets. For jetting, it sounds ok to me. Also, you MUST prime a holley by filling it with fuel before initial starting. You rarely hear of it, but if you tunr it over with the key, you run a very good risk of cam wiping. You need to prime the carb (I fill with a small funnel thru the vent tubes..About 1/3 of a soda can of fuel in each bowl), then prime the oil system (which involves manually turning the pump via priming tool) and turning the engine over 2 full rotoations by hand. Then stick in the dist so it's close to 10° before TDC on compression. Then hit the starter and fire it.