Let me just hit a few of the facts on the ground here.
First, with respect to the trans, I am offering advice based on experience. He is talking about, however slightly, horse-ing up a 403 Olds maybe, and I think a little trans freshening is in order. Its not absolutely required, but it will make itself an issue soon enough.
Ditto for the small 7.5 rear, if that's what he has. I have broken a few, myself.
As far as the engine swap, I do lean anti-Chevy and everybody knows it. My reasons are money, too. I have yet to build a Chevy that didn't require a ton of money invested in the machine shop, just on the block. Most every used Buick, Olds, or Pontiac engine that I have torn down, didn't need anything more severe than ball honing the cylinders. I am not as particular as some people, but I have had my Chevy problems. The money at the machine shop does not make up for cheap aftermarket parts.
Being practical, though, I would cede you the point on Chevy engines if the car had been equipped with a chevy engine of some type from the factory. My thinking goes something like this on budget engine swaps.
-So, you are on a strict budget but you still want a better engine? Well, I think the most cost effective solution is to stay within the same engine family. That means if the car came with a Buick V6, a Buick small block V8 fits the best because you reuse the same motor mounts, trans, entire front accessory drive, the fuel lines will be in the right place and the exhaust will most likely fit right to the manifolds. In short, nearly EVERYTHING will swap over with minimal hassles.
My examples would be:
Buick V6 cars = Buick 300/340/350
Olds V8 cars = Olds 350/403
Pontiac 265/301 V8 cars = Pontiac 326-455
Chevy V6 or V8 cars = Chevy 350/400
So, budget wise, to me it makes the most sense for the OP to use the Olds 350 that is readily available to him. If you strip the front accessory drive off of it, reuse all of the 307 accesories, it just drops right in. If the engine has been sitting a while, you strip it down, clean all the parts, ball hone the cylinders, and put it back together.
Putting the Chevy truck engine in though, even if its a runner, requires, motor mount changes to the frame, shorter car V8 engine shells for the motor mounts. Different exhuast (which he may change anyway) pipes. Possibly a different transmission (not all the 2004R units are universal bolt pattern, I have two that are non-Chevy pattern myself) which means maybe a different driveshaft and repositioning of the transmission crossmember. The truck accessories may sit too high and rub the hood or hood insulation, or they may be too wide and hit something else. The A/C hoses will have to be changed to factory Chevy equipped car parts.
I hope the OP chimes in soon to give us an update!