A ring and valve job MIGHT be indicated.
You need to check your valve lift to make sure they are all lifting the
same amount, slightly more than 3/8". Cams and lifters are notorious in
B20s and B30s for going bad, and if your cam is bad you will need to change
it also. This presents a great opportunity but that is another string.
You will need to pull the engine to do any/all of that.

To add oil to check the compression you need to add about a tablespoon of
motor oil to each cylinder through the spark plug hole just before you do the
wet check and after you did the dry check. If there is a substantial difference
you do have bad rings.

Your symptoms sound like maybe more than one thing is wrong. It should NOT
be flooding, for example. You might try disconnecting the wire from
the cold start injector for a start and see if that helps. Also make sure
your fuel pressure is 30 psi or less.
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George Downs Bartlesville, Heart of the USA!