I did another major rehaul of fem_update. This is huge and it was necessary to change a fair amount of the code, even some in model_v2.f90. However, I like it a lot better now. I also may have found the bug I've been searching for for the last few days.
There are still some things I don't like about the code but hopefully I can resolve them later.
Also, it is now a simple matter to change the amount of allocation. I need to be very careful with that however.