Besides checking the deck for levelness as stated, is your engine running at full speed? 3200-3400 RPM's. Second, are you sure that the brakes on the spindle are releasing, allowing the blades to turn as fast as possible? Finally, I don't want to be a smart &$, but is the blade installed correctly? Every season I will have a least one unit with the blades installed upside down.
Is the deck rigged correctly? Level left to right, and slightly lower in the front than the rear? Tire pressures set to spec? (check this first)
Besides checking the deck for levelness as stated, is your engine running at full speed? 3200-3400 RPM's. Second, are you sure that the brakes on the spindle are releasing, allowing the blades to turn as fast as possible? Finally, I don't want to be a smart &$, but is the blade installed correctly? Every season I will have a least one unit with the blades installed upside down.
The Ariens RER works best with the factory original blade belt. I have seen some aftermarket replacement belts used on the Ariens RER that weren't wide enough in the pulleys and caused the blade belt to slip. The blade belt should fully engage about 1/2 to 3/4 travel on the blade engagement lever. The adjustment is a bolt near the front axel. By tightening the bolt, it pulls the deck forward and tightens the belt. Also make sure that the cutting edge of the blade is facing the grass discharge on the deck. I used to sell Ariens and always found them to cut about as good as any mower on the market and if it's not cutting right, I'm thinking there is something going on with the pulleys or the belt or blade not being right?
How often do you cut?
How tall is the grass?
Are you cutting more then 2 inches off the top?
Level the deck from the blades not the edge of the deck.
Try healing the deck. setting the back of the deck a 1/4 inch lower then the front. I have found that on MOST mowers healing the deck gives a much better cut.
Does it leave uncut grass when cutting both types of grass?
Thought I should add... I don't really get the purpose of the vents on the deck pan (4 slots surrounding the spindle) but they are opened at the factory according to the manual ... To help with bagging. This has the mulch kit installed though. Maybe this isn't a big deal, but it has always made me wonder about whether or not those should be fully open.
The holes (vents) around the spindle is to help keep the spindle cool. You need to keep these open and free of grass.
Why would you install a mulch kit if you are bagging?
When you bag you do not want a mulch kit. And you want you use high lift blades not mulching blades.
You did not mention that you were mulching, and that puts a totally different angle on things.
Mulching with a standard or universal deck ( does everything poorly ) is always a hit & miss affair.
The height of the grass after mowing and the actual length of the cut grass can make a drastic difference.
As will the temperature, he dampness of the grass and the type of grass you are cutting.
The airflow under a deck is a very complicated thing, which I for one have little understanding.
However it does require a lot more power to keep all the cuttings swirling around getting recut & recut.
So your original premice might be correct, a 10Hp engine will be working hard to do a good 28" mulch.
8/24's and 10/30's are an excellent size mower for blocks up to 1 acre if throwing or bagging but mulching might just be asking too much.
I run a lot of very old mowers 1960's & 1970's all around the 8/30 format .
I use these as loan out mowers at times like this when I have 9 mowers in the shop waiting for parts.
None of these will mulch. They all cut, throw and even bag quite well but none will mulch, the decks are just not deep enough.
About the only small RER that does a really good job of mulching I have come across was the 30" Toro Recycler and that has a 14Hp engine and a deck specifically designed for mulching.
Now my exposure to RER's is quite limited, they are not big sellers down here.
However those I own and service , that were not originally mulching, just do not mulch.
From what you have written it appears that you have done everything you can properly.
Dose it cut well without the mulch plug in place ?