Yes, that's #3.
#3, #5 and #7 shaft stands have the holes, but only #3 (drivers side), and #7 (passenger side) have corresponding holes on the head itself. All are clogged.
The po ran the engine for me, but after 30 seconds, I told him to turn it off. Lots of engine noise. As I have been tearing this engine down, and inspecting/measuring everything, it's apparent that all the noise was in the top end. Cam, lifters, rockers etc. I could tell by the existance of a newer head gasket, and the globs of rtv, that someone had there hands on the top end. The good news is that all of the cam bearings are still intact and are not in the pan. Of course all of these components will be replaced.
Another interesting note. There are no welch plugs on the end of the shafts. There is no way that these shafts were filling with oil, and pushing their way out the top holes in the rocker shaft. I guess the "builder" thought them unimportant. The shaft itself is caked with burnt oil and carbon deposits.
-brett