Looks like you've got some work to do on your brew rig :) here is a pic of my homemade gravity system. it's ugly, but I don't have to move hot water around manually.
I used the sp10 for a bit, that's a good burner. One thing to know, the burner top is not wide enough to hold a keg. if you ever plan on boiling wort in a keg, this is not the best burner. You will have to modify it, I used to put a bbq grate over mine that was wide enough for my keg to rest...
did you use the same mill at the same setting for brew 1 vs. brew 2? have you read brewkaisers webpage? Troubleshooting Brewhouse Efficiency - German brewing and more
sounds like your 65% efficiency was about right. you increased your FG by adding a lb of sugar that it does not sound like you accounted for in BS. It also sounds like you boiled off more than you anticipated in BS.
Take great notes for the first 5 to 10 all-grain sessions like JW points out...
boil a couple of gallons, pour a bit in, take temp, pour some more, take temp until you reach desired mash temp. then take notes.
or, forget the protein rest altogether.