I couldn't find a way for WoW to ignore the facial textures for the Night Elves when applied to the Blood Elves. But I accidently found a way to make them look like they are supposed to be there. The before oddly colored facial hair now look like face masks. One looks like the rogue mask, another is a full face mask leaving only the eyes glowing, and another is a mask that only covers the chin/neck (it looks really good with a helmet). The textures match armor pieces in color as well.
The Speech2 file also has my Troll -> Night Elf replacement (I loath trolls). That replacement is perfect besides a single bald nightelf hairstyle for the males, and a troll colored hairstyle for the ladies. Nothing horrible.
I also replaced the Warlock Voidwalker pet with a cursed mage model (found in front of FD Strat... the ones with the tattered cape.) That change is completely flawless.
So see what ya think!
PS: Still havent found a way to fix the Blood Elf male eye glow (it looks a little blocky), luckily it can only be seen from up close so no biggy.