You have to pay attention to Dates. You read stuff on the web from March 2020 that no longer applies, for instance, because something else got passed in June 2020. Or Oct 2020.

The limit under CARES act disaster distribution, avoiding the 10% penalty and qualifying for the 3-year spread, has always been $100,000 max. That never changed.

You stated: "$63k is Federal Taxable income using 3 year Qualified Disaster Distribution."

But that's not how it works. $130k breaks out as:

$30k not qualified, subject to 10% Penalty and fully taxable for 2020 and does not go on the 8915-E.

$100k is treated as per CARES. The penalty would be waived and this would qualify to spread over 3-years.