If you had $2K to play with...

I agree with cutting .050 from the head and the block. Wiesco makes a 2.2 liter piston for the 198 con rod. Bore the block and fit those. A mild porting job and a little bowl cleanup on the head to help it breathe better. There are several aftermarket cams to select from depending on the intended use of the car that this engine is going into. That ought to do in the $2K. You can easily add the intake and exhaust you want when the budget allows without cracking the engine open again.