Started taking apart the goods to see how badly our $500 budget is going to get shot to hell. Found out what happened to the "800 mile old" clutch.
For some reason, Ford designed the throwout fork pivot with these plastic bushings. The lower one is supported by a small ribbed section of the trans case (you can see it in the shadow). It causes the bushing to wear all stupid like this.

That makes the throwout bearing ride all gay, and this results.

Then this happens.

My free solution was to swap the upper and lower bushings since the upper one is fully supported in the case. As for the clutch, I managed to find a slightly used one in exchange for a door. Picking a Lemons car with cult status and the resultant community helps out a ton!
While I had the transaxle pulled, I took the opportunity to resolve a major problem with the diff during track use. Apparently, the roll pins securing the spider gear pins fail, then your pins fly out, and make the trans explode like a bomb. The solution is this...

Current budget status:
SHO:$300
Loose change found in SHO:-$2.50
Lotto ticket found in SHO:-$2
Full Interior sold from SHO:-$250
Fenders sold from SHO:-$5
SHO idler pulley sold:-$5
Outer plastic SHO cladding sold:-$70
So far we have made a PROFIT of $34.50+ parting the taurus out. However, you can't profit from parts cars in Lemons, so the SHO is just a writeoff.
Geo:$150
Loose change found in Geo:-$13.10
So we've only spent $136.90 of the budget without selling any geo stuff. We should have plenty for the ADDITIONAL taurus K-member and suspension/steering that I want to put in the front of the car, as well as all the tune-up stuff I need.