Your jetting seams to be fine at 480 for your elevation and mods.
Is your K&N over oiled? I have seen a few that are just way to oiled and wont let them rev out. Also check the vacumm line at the base of the jug to the fuel pump and make sure it is not cracked or leaking vacuum , and it should have no fuel in it either. If so the pump is bad.
I may be swaying towards CR480R's post too. You may be getting into ignition issues at this point, since as you lean it, the blubber gets worse which leaner mixtures need more spark to ignite.
One of My Z's started acting much like yours at TF07. I went all over with the jetting, swapped CDI's etc. In the end the stator was shot and it busted up on the top end.
Z's are also inherantly known for the coil housing cracking and arching out on the frame. A shot of water poured over it, with the airbox plastic off, engine running, may reveal some arching on the frame from the coil. Check that also.
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