Welcome to modified vehicles and working on your own stuff.
"The Establishment" wants nothing to do with them; because they can't trust your workmanship or your parts choices; and they know that if they merely charge "clock hours" instead of "book" time, you'll be unable to pay. They'll end up owning the vehicle AFTER they go through the paperwork to process the Mechanic's Lein. And then they'll own a vehicle they can't sell for the labor cost they've got invested.
The only practical way out is for you to fix this yourself, most-likely with an on-site mentor who may--or may not--help you for free. (Expect to buy beer and pizza at minimum.) Internet mentors can only do so much.
If I'm understanding you correctly, the engine has never idled properly. It's just worse now, and with additional symptoms, since the cam change.
You said the distributor is in "pretty good condition" but you don't say how you know that.
I bet you could find a usable compression tester at most any pawn shop.