@GW's Motorized Hahaha, man. I was sitting here servicing a brake caliper, and I thought about the forum for a second and I said "I don't remember attaching that photo I was supposed to" and apparently others noticed.
Here is a photo of how the pins should be. They shouldn't be entirely flush, but slightly under where it would be.
and to @DAMIEN1307 as well. Just wanted to give an update, nothing like getting answers and dipping out on everyone
It was in fact the clutch pins. Here is a photo of a "new-ish" basket I have. In the photo, the pins are flush with the back of the basket and have approx 11.2mm-11.3mm in height (measuring from the top of the pin to the bottom, and mine were pushed out only less than 1mm for it to rub (it was approx 11.8mm)
It should be noted, often people will say "just hammer the pins on" but with nothing more. While hammering the pins is the solution, it shouldn't be done with the basket still attached to the clutch shaft as you'll need to see if you're getting to where you need to be or not even close. I gave it a few good wacks, and before I knew it I pushed the pin 1/5 out and was dealing with a thirty minute disaster on my hands.