Hi Ray, may 2018 treat your template better than 2017.
I notice a smudge of red paint on the collar of your bushing in the photo. From what I remember, there was little or no wiggle room between the template fingers and the collar. Also, the original was not painted. Perhaps the paint you applied tightened the gap too much?
Try scraping the sides of the fingers, and check that the guide bushing (mounted on the router, in case there is some slight deviation from perpendicular between the bushing plate and the collar) slides easily between all the fingers. Also, check that the template itself is not distorted, either from front to back, or across the thickness - a small bump could cause the fingers to pinch.
Finally, do what I did at the beginning: make yourself a prominent sign that says: "BEFORE all else fails, switch off the router". I need to resurrect it soon, as I want to make some half-blind dovetails, and know that I have lost the habit- too much reliance on a table-mounted router.
A thought: depending on the wood, you may get some tear-out on the right side of each dovetail. It helps to start each cut with a couple of small "bump" cuts, before proceeding along the length of the fingers - removes some of the fibres which might tear out.