In some ways the 1959 model 35 HP ( 1960 was 40 HP ) is better built and more rugged. than newer motors.------Tiller handles from the 28 / 33 models will fit.
Gasoline needs heat to evaporate.------It gets that heat from the carburetor body.------Carburetor will be cold.----You might be looking at condensation.
There is a 20 amp fuse ( 5/8" long ) in a wee black rubber plug in.----Find it near the starter solenoid.------Note , this engine does not need 12 volts from the battery to make spark.
That rubber hose is NOT a " metering rod " at all.-----It merely guides cooling water around the engine.------Water does NOT flow through that hose either.----A product called ---LUMIWELD -----can be used to repair that defect.