Even if the ACR is bad, it shouldn't be backfiring through the intake.
If the exhaust valve is or was set too tight, it will hold the valve OPEN not shut. You should have had an exhaust backfire, not an intake backfire.
Did you set the valves to spec with a feeler gauge? Did you set the points with a test light or DVOM? You need to set everything to proper spec. Please set correctly and report back. If you did set to spec, please state that when telling us what you have done.

He said in his opening post that he checked the exhaust valve with the head off and it did not appear to operate correctly by the ACR. He also said he tried cranking the engine with the spark plug wire off and is not getting past the compression stroke. So what do the points have to do with that?? Now as far as with the plug wire on AND a backfire, if you don't get past compression the exhaust valve is not open yet so there is nothing to go out exhaust and backfire. HOWEVER since you have already had intake stroke and compression to a point, ignition occurs just before TDC, but if the ACR is faulty, engine rotation stops, ignited gas reverses engine rotation to a point where the intake valve is open and pop goes the weasel out the carb.

That's my theory and I'm sticken' to it. If I'm wrong (and I have been, many times) I will humbly apologize (and I have, many times).:Bowdown2:

I want to thank yall for all the info yall gave me it helped out alot and well i found my problem was. found the ACR was bent down slightly so i bent it back up and problem solved. i know its a temporary fix but it will start easy now so i can do my garden now. but like i said thanks again....i only have a timing issue now but just wanted to thank everyone again. my 86 lives

it appears there's 2 issues at least. since running over half throttle problem would be more like ign. issue.
just pop the head off. measure the lift at the exhaust and see where the piston is in the bore. check it to the Kohler manual. take the cam cover off and you can bend the ACR tab to get it back in spec . they say not to bend the hardend tabs but I do. worst that can happen is you break it off . if that were to happen you change out the cam. I have yet to break one.
once you get your starting issue fixed then worry about the running issue.

I've found that generally when I get these problem motors in that someone trying to fix it probably created a problem while trying to fix a problem. biggest goof I see is a GM coil instead of a Kohler coil. they both look the same. if you have an ohm meter take all the wires off and ohm it through the + and - terminals. should be 5 ohms. if its 0 you have a coil off a GM or a bad kohler coil.

guess I was slow on my post

Glad you found the problem, and your 86 is running again, Brandon!

X2!:beerchug:

Im still thanking you all for the help....i was pulling my hair out over this. so every bit of info yall passed on is a big help, it will be dearly kept in mind next time i have a problem. my 86 is the mule around my house, from pulling my 16' trailer, breaking plow, and blading...it does more than the others combined. so from this cub lover **THANK YOU ALL** i will help with what i can when asked