If if were a chevy you probably would have had issues due to the dist being wet, that's probably a guarantee.
But, more important, why does your boat have that much water in the belly of it? I mean for it to get up on the flywheel and be splashed around like that you must have had like 3" of water in it...is that normal? I thought you just re-did all the seals around the pump, what gives?
Or do they just get that wet inside during races?