Thank you Berlin.
I am thinking of only placing the jacket around the barrel and part of the top of the stove leaving the loading lid, ash pan, and flue open to try to avoid the dust. I have also re-cemented all the joints with stove cement where the cast top and ash pan connect to the steel barrel of the stove, so I am hoping those two things would keep the dust to a minimum. I would like to have put the stove in our living area where I currently have our woodstove, but the wife's convinced that I'll make a mess of the place. My other option is I can pull all of the forced air vents off to the first floor and just let the heat naturally rise up from the basement and the cold air return in the same manner. The basement is an old block un-insulated foundation and cement floor so I am guessing it would soak up a fair bit of heat. I was thinking with the jacket that I could try to funnel the air up instead of wasting the heat to the basement, but if you think it wise, I may try the other route first. I could always add the jacket later.
As for the Thompson Bros coal, I am waiting for a trucking price from Valier's delivery guy. I am only about 20 miles from Thompson Bros at $120 a ton + delivery, and about 80 miles from Valier at $90 a ton + delivery. In your opinion, if the trucking cost isn't too prohibitve say $200 difference total, would you reccomend their coal over Thompson Bros for my first attempt at hand firing? With Valier's being about $30 a ton cheaper it helps with offsetting the shipping. I could go with Kentucky from T. Bros, but at $215 a ton it's the same as I can get anthracite for in bulk down here.
Thanks again for the help. I'm just trying to make sure I get off on the right foot. The wife's pretty skeptical of the whole plan

I think she'll change her mind if I get it set up right with your guy's advice, and we don't spend near a couple of grand to freeze all winter with oil.