Mike,
I assume you're working with plan "Mike-G11-11-2018-daz.scarm" and are talking about the O-54/O-72 curves on the inner run in the upper left (photo 1) even though your compass says the "Northwest corner" is in the lower right of the layout. 
I also assume everything in the lower half of the layout has to be moved up 3 1/2" and the lower level loop is causing the problem. If that's true, then swapping the O-54 curve for an O-72 curve will not work and neither will cutting the O-54.
I also have to assume that moving things up 3 1/2" leaves you enough clearance past the post and the post is somewhere near the middle of the lower wall making it impractical to just curve around it.
If all that is true, then my suggested changes are the white tracks in photo 2.
-- I clipped 1 track on the left side just above the switch.
-- I clipped 2 more tracks on the right side.
-- I clipped a 4th track on the bottom just to the right of the switch coming out of the loop.
-- I clipped other tracks near to and in the yard.
-- I swapped out the O-72 curves in the upper left for O-54 curves.
-- I moved the reversing loop.
-- I moved the spur to the engine facility and reconfigured the fueling station.
