Update on this issue........
I ended up restoring a few of the links I removed but none of the truly crappy ones. It seems though I was just needing to be a little patient. This latest algo update shot be back up to 8th after I had dropped to 30th (after removing a ton of links). So it seems those links were still passing pagerank even though they were total garbage and didn't offer any value whatsoever. I think this is evidence that Google's quality standard when it comes to links definitely went up. Which I guess goes without saying but it's good to have proof. I also hadn't done anything else to the site for the last couple months other than remove those links so there shouldn't have been any other variables at play.