they found oil in the coolant (but no water in the oil), I called the dudes at hoyes and they seemed to think that there might be cracks in the head or possibly the block... I dont think thats the case as theres no water in the oil and the tractor runs great, fires up on the second turn of the starter (except in the winter), it doesn't smoke at all... I'm really hoping it's just a HG.
That doesn't sound like a typical hg to me it sounds like someone put the wrong fluid somewhere or its not actually oil.
Is the evidence of oil in the overflow bottle or both radiator and bottle and how much is there?
I would change it all out and watch it for bubbles in the overflow bottle and thats when you can condemn the hg etc and tear down is necessary to find out what it actually is that is letting combustion into the cooling system.
You can put 1/2c dry laundry soap in the radiator and run it a while to get circulated and warmed up good and it will suspend the oil and then will come out when you change it.