I'm going to chain the engine in this week, in my 86 Z28.

How much slack, if any should be in the chain. I figured on as little as possible.

Right now the plan is to attach it to an accesory bolt on the driver's head, and then weld a link to the flat part of the "frame"

any other method's, places or suggestions as to where the frame side of the chain goes

The heads are iron, and the only accesories are the waterpump, and the alternator, so there's not a lot of intereference here.
thanks

 

Since the amount the engine rocks in the rubber mounts is very little, any slack in the chain is useless. You want the chain tight but not pulling down on the engine. Using a turnbuckle can fine tune the adjustment.