I'm sorry, but how can you tell me that I can not make it work when I've been running at least one of my Quadra 605s at 40 MHz this way for a decade? That doesn't make any sense.
If that were true, nobody would overclock since overclocking is almost always running parts faster than what the manufacturer says.
We're talking about a simple PLL clock driver, not a multiple-million-transistor device like a CPU. Also, the implementations and specifications are identical for both with the only exceptions being a recommended change in the anti-jitter resistor for applications below 40 MHz (20 MHz CPU) and the guaranteed minimum working frequency:
http://www.mac68k.org/files/MC88916.pdf
http://www.mac68k.org/files/MC88920.pdf
The added oscillator's output simply goes to pin 8 of the MC88920 which is disconnected because of the removal of R93. How is that not working with a PLL when we're precisely working with the MC88920?