Okay I believe I adjusted the steering bush following the instructions posted from the Nissan manual.
Took the play out of the steering box by adjusting the locknut/screw (as posted before)
I measured the distance between the column bushing and the thrust washer and it was 2mm
I backed off the column bushing to around 1.0mm to 0.5mm (the thrust washer isn't perfectly flat so it was hard to get a perfect reading)
Replaced the snap ring with a new one
Loosened the thrust washer and snap ring
I put a dimple in the top of the jacket tube where it meets the markings on the column bushing.
Also caulked the other 3 markings on the column bushing with some silicone.
While I was at it, I also caulked the "security" screws on the steering lock that were previously broken off so that they don't rattle around while driving or back out.
Pics in order of assembly:
Old snap ring vs new one