There is no adjustment or break in period on a crank sensor. it sends a signal to the ICM as each break in the interupter rings on the back of it pass the sensor.

If the car is running rough and removing the code seemed to help it, it looks like the issue is still there.

Give the pouring water on it a try to see if it is being caused by the coolant leaking.

Keep in mind your motor is a Series 1 and these pictures are a Series 2, but the parts are relatively the same.

This is a picture behind the harmonic balancer of the crank sensor in place


This is a sensor by itself (Series 2)


And this picture shows the back side of the balancer. Notice the two rings that pass through the slots in the sensor.

Well, if it was still acting up for him at first then, I better take your advice and go with a PCM. Is it safe to buy a used pcm, Bill? I saw where you explained how to replace it. I'll have to dig that back up and that will be my next attempt to fix this problem.

While I have the waterpump off redoing it, is it a good idea to replace the cam position sensor while it'* easy to get to? How can i tell if the magnet is ok?