Fan removal after body lift

Dumb question but what is the purpose of a fan shroud? No major off-roading planned. Does one even need it?
You absolutely need a fan shroud, It's there to draw air in through the radiator & fan. Your cooling system will not work correctly without it.

FWIW I always remove the four bolts from the water pump pulley (the ones you circled in blue), but I also usually remove the belt too which generally makes it easier to access everything.

Also - be CAREFUL when you get the fan loose & pull it out of that engine bay. The fan blades are sharp-ass steel & will put a hole right though your radiator if you aren't paying attention. Ask me how I know..
 
The shroud is kind of like a funnel. It helps the air being pulled through the radiator to come from outside the vehicle instead of the fan just spinning around in the hot engine bay.
 
one thing I did on my cj7 ...when I added a 2" body lift, I removed the shroud and cut it in half horizontally . redrilled the bolt holes and 1/4" holes above and below the cut and zip tied it together.....made it much easier to change water pump a couple years later.
 
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It's only needed for hardcore rock crawling.
It serves a purpose of getting torn up by your fan to shatter pieces all over a creek!

kidding aside, your instructions lead you astray. You just need to drill/self tap screws an inch higher with a BL + MML, only taking out the screws and letting the shroud sit on the fan (all otherwise still installed) during the adjustments.
 
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one thing I did on my cj7 ...when I added a 2" body lift, I removed the shroud and cut it in half horizontally . redrilled the bolt holes and 1/4" holes above and below the cut and zip tied it together.....made it much easier to change water pump a couple years later.
That’s a good idea, I was just cursing at my fan shroud yesterday for not being a 2 piece design.
 
It serves a purpose of getting torn up by your fan to shatter pieces all over a creek!

kidding aside, your instructions lead you astray. You just need to drill/self tap screws an inch higher with a BL + MML, only taking out the screws and letting the shroud sit on the fan (all otherwise still installed) during the adjustments.
If you do BL + MML then you just remove the four bolts while you install both, then return to stock position

If you do just a BL then you lower the shroud 1”

If you do just a MML then you raise the shroud 1”
 
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If you do BL + MML then you just remove the four bolts while you install both, then return to stock position
I still had to relocate mine with a BL + MML, so like many things it may depend on the specific Jeep. I can’t remember how long after that I did my TT and may have had to move it again.