On Oct 15, 5:49 am, druid wrote:
... I didn't notice
any water in the bilge after it sat overnight, but there was about 2
gallons in after running the engine for about 2 1/2 hrs. ...

I agree with the previous posters about the stuffing box adjustments.
However, your water problem could be any number of things. I've seen
that kind of water ingress from a raw water pump with bad bearings for
instance. Also, if you were underway when the water came in it might
have come in through a head or sink. At any rate, I think it would be
a good idea to look at all of the engine (use a bright flash light and
mirror) while it is running and see if there are leaks. You may do
this in neutral if you must, though you do want it to get warm and at
some point it will be nice to see the stuffing box when the engine is
running. You really ought to be able to run the engine in gear at low
rpms in the slip. If you can't then the set-up is unlikely to be
satisfactory in bad weather and you should think about moving to a
more secure spot.

-- Tom.