Re: If I were to replace my Volvo 4.3 ...?
What all is wrong with the current engine? The 4.3l engine is a plain old GM 4.3 automotive engine with brass core plugs. Pretty easy to find a good automotive engine and put brass core plugs in it and use it in a boat. That's what I did. Doing all the work myself and selling off some extra parts I spent out of pocket around $500 for a used engine replacement, including having a full valve job done on the 2 heads, and all new gaskets throughout.
Current block cracked?
Confirm your 1996 has the Vortec heads (8 intake manifold bolts = Vortec, 12 = older non-vortec), and go find yourself an engine out of a S10, GM/Chevy 1500 pickup, or Astro Van. If it's non-Vortec, look for 95 and older vehicles. If Vortec, 96+. Remove automotive components and replace with the marine parts off your engine. Have a machine shop rebuild it if you really want a "fresh" engine. Make sure they swap out the core plugs for brass. I've picked up 2 engines for $200 each. My boat is running off one of them now - the other is sitting in storage and may get rebuilt this winter into a "fresh" motor.