?? on step notch

[67Fleet]

I should have my KP 8" step notch delivered by the end of the week. I have a couple of questions.
With my current setup consisting of stock trailing arms, 2" lowering blocks, and bags in stock location, I know my bag location will be the immediate limiting factor for going super-low. So my questions are:
1.) What is the optimal location to mount my bags with the stock trailing arm setup?
2.) After I re-locate the bags, is there going to be anything binding before The axle bottoms out in the top of the notch? I think I've read somewhere on here that the trailing arms will hit the frame first?