Jim-
I'm not a CD-16 owner or expert, nor did I sleep in one last night, but I think you're definitely on the right track from all my reading on this and other CD sites over the past 12 or more years.
I'd have the custom tank made from heavy gauge aluminum and mount it very soundly to the hull.
Will it interfere with your and the passenger's feet placement?
Will you have to open up a sealed buoyancy compartment to mount the tank? (Told ya' I'm a virgin as far as the 16's are concerned!)
Have baffles put in it if you think the sloshing around will affect your center of gravity or irritate you noise wise.
A standard remote fill intake would be best with a good vent system. Use vents that won't allow any water to enter. You need a good "goose neck" arrangement plus internal baffles and drains for water. With the smaller boat and forward placement, this will have to be done right. Could the fill be place further aft, or the tank just be filled through the cabin from abaft?
Be sure to add a Racor filter back in the engine well with a clear bowl for water accumulation and draining.
With the shorter CD-16, be sure that the trim tabs are plenty long. They add planning area, and help the boat plane earlier, at lower speeds, and add both stability and gas mileage to the shorter hulls, as well as allowing the athwartships trim.
Sounds like a fun project!
Good Luck!
Joe. :teeth :thup