Since nobodies jumping on this I'll add what I know, as far as timing is concearned you would generally use a tad less than in a hot-rod since the engine is under constant load. I myself see no gain beyond 34 degrees full advance (in by 3000 rpm) on my jet-boat. As for the engine, build it for peek power output only, the engine will spin the pump very quickly to whatever it can achieve based on impellor cut and clearence, etc. vs. horsepower (much like a loose converter). For example if you had a Berkeley pump with an AA impellor, it would require 633 hp (@5500) to spin the pump to 5500 rpm, if that is where the engine peaked there would be no way to spin that loaded pump any faster.