Mark, I assume that you have remeasured the placement for the frame,so the problem is that the frame is to long in the segment that follows the keel panel by 1/8"? is the boat resting evenly or on a sawhorse? are the keel panels not on edge with the next panel at the bow placement? are the panels all meeting reasonably together at the ends <1/8"? set the boat up a few inches off the table and simply look down the keel from the bow,,, does it have a smooth curve all along the sides and bottom at the placement of the frame? If it is smooth,,,build it. if it looks wrong then don't glue it yet,,,, the frame doesn't have to be perfect, it's how the boat sits that matters. Could this be a perspective problem ,in other words you've been in the shop too long and it's time for a break?