Good information to know! So far process has gone very well up to now. I believe you shed some valuable information on my next question. He new cam will not seat well? I replaced lifters and bearings. I'm at the point where I'm ready to button down caps but as I mentioned the one of the lobes close to the tandem pump is sitting on a new lifter which will prevent flush seating. Do I proceed and install caps? I'm assuming the cam will seat but do not want to damage the aluminum head or put to much stress on the new bolts. The lobes and lifters on the old cam were worn pretty bad. In fact, the 3rd lifter from the pump had a hole in it.
Tread very carefully at this point. This is exactly what happened to me and it turned out the cam was not being held up by the lifters, but rather the tandem pump drive coupling...until that broke. Major stupid error on my part, and I had to buy a new tandem pump.
While you are putting the cam back in, you should have the engine crankshaft rotated 1/4 turn (90 degrees) counter-clockwise from TDC (top dead center) so the pistons are all far away from the valves. I think you will find that if you lower the cam into place and then slightly rotate it counter-clockwise as the slot slips over the two lobes of the tandem pump drive coupling, it should slip in there without catching on the coupling and breaking it. Then you can carefully tighten the cam bearing caps down, checking that nothing is getting pinched.
Use a flashlight and make sure you can really see what the tandem pump drive coupling is doing. Keep an eye on it. The feeling when it breaks is one of utter despair.
Remember to put a little bit of sealant on the bottoms of the cam bearing caps at each end of the cam, or else it will leak oil. The part of the cap where the valve cover gasket seals against is where the sealant goes, but on the underside that presses against the head. I used some kind of fancy silicone that is supposed to be oil resistant. I don't know what the proper sealant is (if it isn't that).
Also, it wouldn't hurt to put some sealant on the end of the cam cap that goes against the tandem pump gasket, since that has been removed and replaced without replacing the gasket.
Once you get the cam bolted down successfully, then you'll need to re-install the injector rockers. Before you put them in, make sure the adjusting screws are backed out most of the way, so you don't accidentally over-compress an injector plunger. Then follow these instructions to set the injector lash:
http://forums.tdiclub.com/showthread.php?t=306911
It's a lot easier to set the injector lash before you put the timing belt on, because you can easily turn the cam around and around without the hassle of having to turn the whole engine.
Once the injector lash is set, you're ready to put the timing belt back on. Get the cam to top dead center and lock it with the pin, and then get the engine to top dead center and put the crankshaft lock in. If you've done everything right, you should be turning the engine clockwise 90 degrees. Don't turn the crank past TDC! If you go a tiny bit too far, turn it back 45 degrees or so, and try again, but certainly don't try spinning it a full turn because pistons will hit valves.