Suggestions please...
 

New Kilo tt with stock brakes, the wheel is almost touching. I can't even really fully inflate the tire, and I would really like to get slightly bigger tires, but that aint gonna happen with this going on. So that said, anybody have any suggestions short of getting a new brake that will accommodate what I want? Has anybody else had this problem?

Step 1 - Sell the Kilo TT
Step 2 - Buy a Kilo WT

Rear brake? Before you guys chastise me, let me explain. My friend had the same predicament (smaller sized kilo tt); ordered size 28 gatorskins and a front brake to replace the stock garbage; ran into OP's problem. With barely any money left, I told him this idea and all went well and with minimal extra expense (brake mounting bolt swap and brake cabling w/ zip ties).

^ no i don't want a rear brake.

your brake seems off to the left scoot it over, Realign pads

exact same problem with my friend's kilo. A temp fix would be to tighten the brakes a little (i mean so that both pads are closer to the wheel), since both arms moves closer, the top will give just a slight bit more clearance. Just enough for the tires to not rub. Meanwhile maybe u want to order a new brake.

and yea, ur brake looks off centered.