racerdave
^ Gone not forgotten ^
PVC pipe works well for the spacer.
If you're going to use PVC for a spacer, be sure to use a washer between it and the springs so they don't chew into it.
It's a wonder to me that folks continue to rely on Joe Minton's old series on the XS650. Go ahead--stick a Shell #1 cam in that motor with stock valve springs, port, carb, pipe, and big bore that machine--then run it the way you've built it to run with an unwelded crank and see how long it takes the fly wheels to separate.
As jd has tried to tell you guys, there's no substitute for doing things right; and as Paul Thede is fond of saying, "The best you've ridden is the best you know." To get a badly needed clue about suspension tuning, go to http://www.totalcontroltraining.net/Suspension101eBook.pdf
Also, go with real fork oil. ATF is not formulated to retain a specific viscosity value, and will turn to a watery mess fast...