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2000 yz250 power valve issues

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So i just rebuilt my 00 yz 250 top and bottom end. The cylinder has been resleaved stock bore still. Now I noticed that the the power valve is hitting the sleeve and won't close all the way. Sleeve seems to sit in about a 1/4" into the slot for the power valves. Now I have the motor completely together and it runs just has no power at low end. Is it because of the power valves?

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