RE: Koverall problem
If you shrunk your covering, then I am not sure what the problem could be. I have never heard of this happening before. I have always used a heat gun for the majority of the shrinking on Koverall and have never experienced a problem with a loss of fabric "memory". This may be a problem related more to 21st Century Fabric, which I was NEVER able to shrink as tightly as Koverall. It would always sag and wrinkle horribly. I also doubt your dope is a problem. Since we use heat to shrink the Koverall rather than dope the fabric should already be tight before the dope is applied. The dope simply seals the fabric for primer and paint.
I have never used the Stits system so I can't say whether it is a better way or not, but that wasn't the info you were seeking either. I use plain ol' Sig Nitrate dope which is non-shrinking. I hope you get the problem worked out. I wish I could tell you what caused this but that is a new one for me.
Brian