so is it typical of the power-house (
) 2.9 with a a4ld and 3:73 with 235-75-15s to only be able to hit a whopping 35 mph going up a 7% grade? or are there other issues that might be going on ? the outside temp was about 90˚.

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check your air & fuel filters. that'd be my first thing..
mine is located in the frame, under the drivers seat covered by a plate.then, do the one up by the engine, it's easiest to crawl under from the front bumper.
finally, i can run 70mph up a 7% with the same configuration as you in an 86 b2.
run some gumout with regane through the gas tank, then seafoam it
also might wanna have it hook up to a computer(not the cheap code readers), u know the ones that can tell u whats wrong without a cel, could be a o2 sensor, or a coolant temp sensor or somethin stupid
i'm not sure how castrated the california emissions 2.9 is, but that might be the problem right there.