Update to an ancient thread!
So after almost 2 years of fighting this amp, I went back through this thread and through the amp and decided to take major action.
The amp was a source of many small annoyances. Mostly burning out #1 preamp tubes and all-around inconsistency. The controls were all over the place, changing either volume, treble or bass would radically change the sound, I was constantly fiddling with knobs.
SO. I was going to go one of 2 ways: change the circuit to something like a low-power twin/ bassman OR change the iron to the correct components.
After digging into it I determined that the only components needing to be replaced were the OT and the Choke - and it only cost me about $100.
After about an hour of work yesterday its like a whole new amp! The controls are MUCH smoother the volume mostly just makes the amp louder (a novel idea) and Treble and Bass do what they're supposed to do. The amp stays clean through 7 or so on the volume and then begins to really overdrive, I can actually clean it up with the guitar volume though, somehting that did not work well previously. Also the wierd "mid" control works now too, not exactly like a mid but not like gain either. Useable none-the-less.
SO long story long - Thanks Ed_Chambley, shooter, SILVERGUN, sluckey, HotBluePlates for all of your great insights and help!