I feel your pain. I tried my best to get someone to let me run true dual exhaust, but as you have said, it must be the way it came from the factory, i.e. with a y-pipe and single cat. After the cat, I can do anything I want. They are real strict in my state/county and go by the book to the letter. Reason is because of the money they make off this stuff. It's 30 bucks now for a inspection and I think the state gets around 10 of it.
I can't tell you what to do because I'm not sure what is involved for you to pass and if you can get it done without much trouble. But, I played by the rules. Didn't have much choice, unless I wanted to change exhaust every year it came time for inspections.
I run Edelbrock TES headers, which have a y-pipe and the A.I.R. tubes. I run these into a single Random Technology 3" in/out cat. Every bit of emissions stuff on my truck works and is hooked up. My truck is far from stock, and passes the tests with flying colors.
I know some will chime in and say register it in another county where it will pass. This is not for me though. Besides, the counties around mine are going to emission tests in a year of so.
I know this isn't much help, but I don't have anything to tell you but do what you feel is best and less trouble.
If it were me, I'd go with a y-pipe and single cat and not worry about it. Believe me, it can be made to look good and flow good this way. As far as the engine swapping, from what I understand, it's legal to swap engines as long as the engine you are installing was an option in the truck. But, as my state does, they use your VIN to go by. So, the tests will need to pass what's legal for the old engine. Not a big deal, since they are fairly easy to pass, if the emissions stuff works. Personally, I don't think the inspectors really care what engine is in it, as long as it looks legal.
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Mike
1985 Chevy C-10
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