Hi Kim. We have a 35-3 with the 24 Horsepower version of your engine. We have done everything possible to eliminate vibration, including new mounts, alignment, flexible vibration dampner in the drive line behind the coupling and cutting the prop to 14" for 15% hull clearance. Our current pitch is 10.5". This allows the engine to run in the engine manual cruising range of 2000 to 2400. Maximum speed is 2800 R.P.M. for our Universal and should be the same or almost the same for your model. A 3 cyl engine naturally vibrates more at some speeds than others. It is never dead smooth like a straight 6 cyl. in your car. Aside from the alignment, which should be done after the boat is in the water for a few days, it sounds like the prop has too big a pitch. You should see no black smoke at normal cruise speeds.