Thanks for all the help!
I changed the suction hose to soft polyurethane and then primed the the lift pump by blowing air into the tank after which it pulled a foot from the tank below it. There was no air present in the lines after this nor was there any surging.
..a few more tidbits for those who might be googling for this in the future
Diesel SG is about 0.84 so about 0.37 psi comes from a foot of head. 3 psi output will push up to 8 feet in the design-diameter hose.
The little diaphragm type electric lift pumps are NOT designed to self prime at ANY height, I have two of them with different output volume and untested but suspected low-range output pressure and NEITHER one will self prime to a height of even a single foot. I was very surprised by this and it can be a major factor in machines that sit still for weeks on end! I cannot consider this to be a design flaw because the machine is delivered with a mechanical lift pump, I have no idea if it can self-prime but when the system needs bleeding I want nothing but an electric one. Actually the best design is no need for any bleeding at all, in the form of a self purging layout like on my Deutz 4-holer!
The hoses that many mechanics WRONGLY use to connect both the output and suction input in lift-pump circuits are polyeth or nylon and get very hard in cold weather springing vacuum leaks! Use soft polyurethane hoses for vacuum, the type that remains flexible at any temperature. We're talking suction only here, any leak means air, not fuel, and less likely to occur anyway.
I've had endless troubles with this backhoe since day one and in retrospect ALL of them revolved around the fuel system and its total lack of suitability for very cold weather operations at the design level. So although the issue is temporarily resolved "I" am resolved to fix it once and for all this spring when it warms up outdoors
1
Diesel fuel ALWAYS has water in it, only the quantity varies with the degree of refining. Summer fuel has tons of it causing rust in tanks and lines and filters. Winter grade is more refined (evaporated) which is why it has both less water and less energy. The water however (mostly in the form of ice crystals in suspension giving the fuel a milky appearance) can cause L O T S of problems.
2
For my money an aluminum or SS tank is where it must all begin. Plastic could be ok also but it's too fragile on a backhoe which can be a violent environment. I once had the oil cooler above the oil filter ripped off by a stump, triggering the oil horn!
3
The fuel must be visible for inspection at all times. I'm going to cut a slot in my DIY stainless tank and close it off with a 1/2" thick clear polycarb plate held by a frame and screws with a fuel resistant gasket between the polycarb and the tank. I will cut a similar but round hole on top of the tank for a very bright light that makes the inside (especially the bottom) look like my mouth at the dentist even in ambient sunlight on snow!
4
the electric lift pump will be fed directly from the tank to which it will be fixed, with a protection plate defending against breakage.
5
a 2000 or+ watt heating pad between the tank and the protection plate that will be under the pad. The idea is to raise 28 gallons from -30c to +20c in an hour and keep it there thermostatically. The lift pump will feed a small shuttle tank.
6
metal return line coiled around the exhaust manifold with a thermostatically controlled selector valve to route the output into the main tank when the shuttle tank temperature is 30c or more. This bit gets complicated bu I'll finger something out. At lower shuttle tank temperatures the heated return would replenish the shuttle tank with the rest of replenishing coming from the main tank. In summer the heating coil around the exhaust would be inactive with just a line into the main tank.
This is no small job, but I've had this machine for 15 years, I knew NOTHING about tractors when I bought it. I've put 5000+ hours on it and absorbed probably 500 hours of DIY service time sometimes under inhuman conditions not to mention $ervice call$. Enough is enough