OK I removed the cover case and the pressure plate is moving @ 2mm . If I adjust it a little tighter on the push rod ( 1/4 turn back off vs 1/2 turn back off ) Will this give me a little more? Do I need any more movement? The friction discs needed a little help but were loose when disengaged.

Spring screws must be screwed home tight, not hammer driver tight but tight none the less. I forgot these have the flat bearing but unless caught & damaged they last indefinitely pretty much. Just be super careful so it stays on the spacer until the hub is against it. Washer #3 that the bearing runs against comes up against the end of the spacer. But bearing #2 should be a two piece item & don't want the small rollers running on the cast center of the basket. So the thin bearing washer goes against the cast basket center with needles running against 'that'. Googling part number shows this, pics a bit blurry for the washer. Talking clutch lifting again, you can only get the lift provided by the actuator. I see it has the plastic worm #27. So providing the cable is backed off & center adjuster set to 1/4 turn as you did, then can't change the lift except for a handle bar lever with a longer distance from pivot to nipple hole. Those plastic worms didn't give any trouble but a guess they could wear & start from a higher position for the bottom lifter arm. Also, not likely but if the riveted over arm #2 on #24 came loose & worn then--movement you don't want--but not likely to happen. Of course take up cable play after setting the bottom stuff. Hope that's legible--got carried away. & forgot the pic. I'll add this clutch link save going back a page to find it.
www.partzilla.com/catalog/yamaha/motorcycle/1973/ct3/clutch

great info. Thx

Yes, parts diagram is misleading.  Two washers and a bearing go together, not one washer and a bearing as drawn. A thin washer is actually sold with the bearing.

OK on an initial post I stated there was an extra washer. I found where it belongs now. If I put the washer back in I suppose the sequence would be washer-bearing-washer ?

Yes, as you describe. I must've missed reading that in initial post.
That is,--thin washer 'bearing size', then bearing, then thick washer shaft size to butt up to the spacer which runs against bearing..

Sorry for the misunderstanding. It was in a previous post, when I first took off the clutch basket. Appreciate the help.

There are a couple of different arrangements of washers over the years so I get confused sometimes.  I can always do it right if I'm looking at the parts so pictures help. I also don't remember seeing a comment on an "extra washer" as that's a red flag.

I think on yours it's the thinnest thick washer with the smaller inside hole that goes on first.  The long sleeve bushing goes on next and sits on top of the washer.  Starter gear and clutch basket go on next.  Thin washer that has hole big enough to fit over the sleeve bushing is next.  Then flat roller bearing.  Then the thickest washer...   ...I think it's the thickest and the OD is biggest...  goes on next.  This last washer sits on top of the sleeve, does not slide over it.  Then inner hub.  Then bend-tab lock washer and nut.   

If you slide everything on all the way and then tighten the nut you're usually okay...  if you pull up on the inner hub or aren't careful, the flat roller bearing can slip off the edge of sleeve bushing and get pinched.  Bad and can destroy the bearing.  So as you snug down the nut make sure the inner shaft/hub freely rotates (have trans in neutral).  If it starts to bind up and you tighten nut, stop and check that bearing hasn't slipped down. 



 

Update on clutch: When I initially went into the clutch I had posted that I found an extra washer. I went back to my parts drawer and it was staring at me . Mark T replied that the parts diagram was wrong and that there was an extra washer. It fit just as he described. After installing it I had to go back and re-adjust the pushrod and the lever. The clutch still has @ 2mm of movement on the pressure plate when you lever it. I think I am good to go. The bike is on a stand with the rear tire free to move. I put it in gear and initially the tire acted like it didn't want to move freely with the clutch in. I moved the tire back and forth and it freed up. Let the lever out and it was in full gear. Are there any more tests before I put the covers back on and add oil?

Sounds good.  Good work.