I've read on Ogre's cave that the 85 rear calipers should not be turned in with the piston retraction tool. I got a new set of calipers and i noticed that the grooves for the rear pads arent straight up on the piston face. Whats the correct method for this year caliper to align the piston face to straight so i can fit on the pads right?

You can turn it enough to straighten it. It will not harm it.

Remove the e-brake lever arm, rotate the piston, you'll be good to go.