A friend of mine just put on the TFS street kit, which comes with valve covers. He had to use a phenolic spacer to gain enough clearance for the EGR to fit. I had the same problem when I used my Fox valve covers, but I just ground down the EGR to make it clear (does not impact functionality of the EGR). The downside of using the spacer is that the EGR tube doesn't fit any more (assuming you are keeping the EGR).