I'm actually not 100% sure if it is 1/2" it might be a little bigger. It is what came with the KB racing kit. Also, just to make sure we are clear on it, the inner diameter of the hose is about 1/2" lol not the outer diameter

I just took off the rubber oil return line and I blew into it to see if there was any restriction. There was A LOT. I almost couldn't even blow through the return line.

I then took off the filter on the passenger side valve cover and this free'd up the pressure and allowed me to actually blow through the return hose. So I'm betting this is my problem-- the filter on the valve cover isn't allowing the crank case to breathe. It was coated in oil, which is why is wasn't breathing. Should I run a catch can w/ a filter to prevent this from happening again?

Are there other areas of the engine I should check that could prevent crank case ventilation? My drivers side is vented also

 

Catch can and a full vacuum source would fix it.

 

You could add a check valve that would open to atmosphere if there is any positive pressure in the crankcase.

A plugged up crankcase could definitely cause your oil in the cold side issues.