Calvin,
There are two manuals that are available one is a service manual which has good directions for all of the service and repair procedures and the other is the shop manual. I had the service manual for my engine when it did it. And it was easy to follow. I bet that the manual is available from Mac Boring or Torrensen's in Michigan. (I've used them a lot over the years and they are great) The other is the shop manual which has detailed pics and specifications for the entire engine. I happen to have the service manual for the 1GM which is very similar to your motor and I don't think the engines are all that different. It should give you an idea of what your getting into. If you give my your email address I'll image chapter 8 which is the transmission section and send it to you tomorrow. If they look real different you can disregard the 1GM manual.
As I recall you drain the clutch oil, carefully back out the 8 bolts on the case, use a screwdriver and putty knife to seperate the bell housing of the transmission from the back of the engine block (remember you'll need new paper gasket and permatex gasket cream to put it back to gether). Once you seperate the bell from the housing you slide the transsmission back and it slides off the end of the crankshaft. Then you unbolt the 8 botds that hold the damper disk bolted to the flywheel with 8 bolts. The damper disk is what you usually call the clutch plate. It has the friction disks and a bunch of springs. This is where the slipping takes place. All are parts important to the functioning of the clutch but without the proper tools it's hard to tell if the parts are working. When the do a rebuilt the replace all the springs and plates.
I forgot to ask you the color of your tranmission oil. It should be clean just like 30 weight new motor oil because that just what it is. If it's whiteish it has water in it and there's your problemm. If it coffee colored or smells bunt there's your problem you fried the clutch plates. Either way you'll need to rebuild the friction damper.
My suspision is that when you put the 3 blade prop on the motor it overloaded the clutch and you burnt the plates. With only 8HP it overloads easily. The clutch really dosn't work like a car. It's either in or out...... when you thow it in gear it is counting on some slippage on the prop end to cushion the system. With a 3 blade you might have put such aload on the prop that it slipped even when in gear and it slipped to the point that it wore out the clutch plates.
Once you unbolt the damper disk is slides off the end of the crankshaft. The manual gives you complete instruction on how to inspect everything. The only important thing it to toque the damper disk back in place. And that's easy with a torque wrench . The specs are in the manual. The key is if you see anything amiss, replace it. It's not worth the hassel to get it all back together and find out it still isn't working. But I've got to say the system is really built well and unless you ran the trnasmission and clutch without oil and unless you had serious other problems this probably the clutch plate.......
I think that when I sent it out I sent out only the damper disk assembly to Mack Boring but I really don't remember. I don't think you have to take the transmission gears apart. If you do leave it to Mack Boring. There are a lot of small parts and uness you noticed other problems other than slipping the gearing is probably ok.
If you want the images send me your email. Mine is
Nelsonhow@netscape.net
Howard
Again if you want a copy of the transmission section for the 1GM sent me your e-mail.
Howard