[Laird Scooby]

Good luck Myron! Hopefully higher pressure will improve matters. The "clicking" from near the master cylinder might be the brake pressure reducing valve in the rear lines, apparently there's a pressure differential switch built into it (if one side pressure is lower it slides an internal spool which operates a switch) that operates a warning light on the dash, might be that's a clue to where the sponginess is coming from as well.