I'm just posting a little update as to what is happening. As Rio Rancho, Sandoval County and now Bernalillo have all upgraded to simulcast systems, the distortion is definitely due to multipath distortion. According to tower locations, I sit in a terrible area to receive these systems (as the tower locations are slightly offset). However, after building a 1/2 wave dipole (aluminum tube) that's resonant at 150 mhz and creating an air choke for elimination of EMI, I have eliminated about 95% of the distortion issues from all three systems. The discone I was using was horrible. Also, setting the systems to FM rather than NFM, the distortion that does get through sounds more like static than the irritating noise of distortion.
I still receive 50% (or more) distortion issues on my 436 (rubberduck) and old Realistic Pro 2011, but cleaned up the receive issues on my exterior antenna system and 15X.