Magnum oil pump

That is the correct way it assembles. With the pan touching the pickup screen. It is designed to work like that.
Yep! It should be touching . My issue was the pick up tube was screwed on the tightest while still being orientated the way it should be on the pan but the pan rails were about .5 inch away from mating to the block hence why I bent the goose neck on the pick up tube. Now the P.U tube sits flush in the pan and the pan rails touch the block all around evenly .