Pete and Tyler pulled the two halves apart and found some nasty surprises inside. Many thanks to the Formula SAE guys who helped us figure out what's wrong. There's a laundry list:
There's a gouge going 3/4 of the way around the inside of the bell housing from the gear teeth on the flywheel. There's hardly any clearance on the flywheel within the bell housing. There's also concern that the needle bearing on the flywheel doesn't sit far enough on the transmission shaft. There's some debate as to weather this is the stock clutch or if these could be due to the previous owner squeezing a larger clutch in there for racing.
There's a chamfer on the flywheel where it mates to the motor, while the mount has no chamfer there, causing the actual mating surfaces to not actually touch.
The countersinks in the adapter ring were so shallow that the tops of the bolts made marks in the adapter plate. The bolts also went into the motor housing only about 1.5 threads!
Pete, Tyler, and Mike worked on deepening the counterbores on the adapter ring, and added a chamfer on the flywheel mount.