I tried it again, seems to be working now except for a very small drip forming on nut at the connection to sediment bowl. I tightened it really tight but worried about splitting the casting. Anyway, hopefully it holds now.
Tom, I believe you were right, it just wasn't being tightened enough for the ferrule to do it's magic.
Hardtimes, I was just going to ask what to use for threads on fuel connections. Thank you for the suggestion. Just one last question, is Permatex a paste, liquid or tape?
Thank you all for your help.