I have a predator 670 22hp on a backwater kit. I just jetted the carb but am hesitant about removing the governor. I know it will increase max rpm but I've also heard that you can blow up the motor by doing this. Will it give a snappier throttle response ? I'm a heavy equipment mechanic but I don't know a lot about these small engines.
Any tips or suggestions on removing the governor?

It won't affect throttle response. If you understand you don't have anything limiting your max rpms, and make sure you let off the throttle whenever you pop a stump to kick the prop out of the water, and don't rev it up out of the water, then it'll be fine. You could just adjust it to allow a higher rev, but still limit your max rpms. It's a safety net that in the majority of cases is a good idea to have.

I removed one and ran at high rpms....I did it once and found stock internals to be sub par
New crank bearing and governor reinstalled

Okay, I think I'll leave it on then. Thanks for the input.

Another question I have is about gutting the exhaust. I've read people say to gut the stock muffler, but how is this done?

Some will say different, but if you gut the exhaust you might scorch a piston. It causes back flow.

If you are staying with the stock carb I wouldn't remove the gov. It really helps keep the motor running when idling through the thick stuff

How many rpm's are you turning OOW and WOT in Water?

I've had one of these motors - sold it to a friend who still has it. From the box it was only getting 3100-3200 RPM in water. Made an adjustment at the governor and now it turns just under 3,600 in the water.

There aren't many replacement parts out there. I've pulled the carb and spent some time on it with a dremel. Guttted the exhaust. Lapped he valves and reset lash. Never adjust the governor again, but it does get on step better.

I put less than 50 hours on the motor stock, and its pushing 350 now. Only trouble we've had is with the starter bendix not fully engaging.