| If you plan to go above that, you should start beefing up the components. If not, just replace all of the normal wear parts and seals/gaskets. Check the head and block deck for flatness per the service manual. If good, then no machining is needed. Open up the coolant passage in the block while it is disassembled. I "polished" all of the internal surfaces of the block to remove all of the sand/cast texture. Polished in quotes because it wasn't literally polished, just hit with a burr to smooth out. I also deburred all of the sharp edges on the block. 
Replace your oil pickup, and oil pump. I replaced all of my freeze plugs, because one had actually completely rotted through. I would also replace the EFI harness while the engine is out. There's plenty of tips and tricks in the FAQs, so browse that for a while before you get started. ASH put a good tutorial together on how to rebuild lifters. I followed it and have had zero issues with them.
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The stock bottom end and head gaskets are good to 600HP - 
