Hello Gentlemen and thank you for all the responses.
I think I may have found out something and this might help you out as well Iahawk, as I think the bystarter is the source of my issue. Here is what I did.
Yesterday afternoon I started the bike and let it run and idle which it does fine when cold.
When it warmed up and started to misfire and die at idle, I reved it to 5-6K rpm and verified that the bike runs fine at high rpm. I did several times and the bike begin to run worse and worse especially at low rpm (under 3k). I purposely wanted it to be acting up so I can check the bystarter circuit. Everything checked out with the bystarter circuit, even the needle had extended out about 4-5mm. Still not trusting the bystarter operation, I removed the bystarter completely off the carb and used my thumb to cover the open of where the bystarter mounted. What do we have here.....
.....I restarted the scooter and .................. it started to idle at 1800. WHAT......?
With my thumb covering the bystarter opening (bystarter sitting on the ground) the bike runs perfect. Idle at 1800, revs to 9k all on the stand, I can turn off the scooter and restarted like it was running on fuel injection.
So for now, I have ordered a new bystarter that I will install, maybe mine is leak and not sealing completely (not sure). The unit will be here tomorrow for about $25.00 USD from Amazon. I will report back when I install the new one. The o-ring on my old bystarter is intact, but it does look like it has shrunk over the years. When I sprayed carb cleaner over this area I did not get a change in rpm. Maybe the needle is not sealing completely?
CROSSBOLT - I have over 12v when cracking, so I think that is good.
Ruffus - my Carb has the mix screw positioned differently than the pic you provided. Mine can be adjust from the top, while your picture shows one adjust from the side. My mixture screw is a D shaped and was capped. I'll try to see if I can somehow get a picture up.
Thank you all. I think we are all learning something new everyday.