Well the saga continues. My bike still didn't feel right, like the rear end is moving in corners, so I took the wheel off today. The left side wheel bearing (which was replaced) had moved out of the wheel a good 2 to 3 mm. The inner spacer was rattling around between the two bearings once the axel was removed. I whacked the bearing with the mallet and it re-set itself. I wonder if I didn't set the cush drive all the way in the last time allowing the bearing to back out of the wheel. I seem to remember standing on the cush drive, but that may not have been enough. I whacked it with the mallet a few times during this reinstall. On the bright side, the rear wheel went back on much easier this time. I guess I'll keep an eye on it, and if I'm still having trouble I will ask for the micro fiche for the rear wheel to see if I am missing a spacer.
Got this one!
Your problem is the spacer tube inbetween the bearings, inside the wheel.
If this tube is mounted the wrong way, the spacers will not fit all the way down.
So check if the stepped side of the tube is facing the left side (sprocket side) then re-install the bearing.
It will go all the way down now, with the stepped side of the tube sliding inside the bearing. the spacer on this side is stepped too, so it touches the inner tube.
If you install it the wrong way around, the right side spacer will push the left side bearing out and you will not be able to fit the sprocket carrier all the way.