BigDawg,
If the spacers check out OK, and the bounce trick doesn't help, you may be experiencing something I just went through.
After a minor off-road excursion at Buttonwillow (no crash, just some dirt ridin', my brakes started doing exactly what you describe. I tried both of the above ideas, but no luck. Now, I know you just changed lines and bled the brakes and in the process, you probably pushed the pads and therefore the pistons back into their bores. If you didn't clean around the pistons before doing this, it can contaminate the seals with dirt/crud which will then keep the pistons from retracting properly from the rotors after applying the brakes.
My calipers were dirty from off-roading, and when I swapped lines it created part of my problem with the brakes dragging. The other part was a very hot day at Buttonwillow (just under 100) that helped my pads to embed quite a bit of their material into the rotor surface, causing lots of friction between pad/rotor.
The fix was to rebuild the calipers with new seals to remove the contamination and use Scotch-brite & acetone to scrub the rotors clean on both sides. Also, I installed some new pads at the same time. Problem solved. The front wheel now spins like new.
As this was a bit of work to remedy, I hope that you are successful with the bounce trick. But if it doesn't help, you might try the caliper rebuild with pads and scrub the rotors clean.
Best of luck to you.