"Hey WILL... your 16/0 is in sad shape man, how many MONSTERS did it catch (or got away for that matter) since it's last service?"
Here it is in front of me...WILL's 16/0, if this reel could talk... but it doesn't have to...it has nothing to prove to anyone...it carries all the battle scars to show. 
One other time I felt this way about a reel, when I sold Rene De Dios my 16/0 after I got spooled at Long Key bridge by Big Moe, that was one long single 950 yrds. run of 125 lb. test Ande that brought chills to my guts, and then Rene proceded to add more battles to that 16/0, some were caught and some got away... but NONE were forever lost, they never are, just got away to fight another day. 
Tools of the trade.
First thing I do is remove the lock screw for the handle screw.
Here we go, already wondering what can of worms will I find when I open this baby up.
What did I tell you? The previous service stop, performed by a professional shop failed to apply anti-sieze compund or marine grease to the bolts and now I have to use a vise-grip to remove them because they corroded inside the spacer bars - I already know at least one or more bolst are going to brake in the process 
It happened - one screw broke and these are not regular hardware store screws: super fine thread, OK - either an 80 MILES round trip to the tackle store for a $0.70 cents screw or $11 for shipping.That was easy...an 80 MILE trip to the shop will be!
Here is the drag stack, this reel had the older style 5 felt/5 metal drag washers, they were a bit glazed but a slight pass with fine grit sand paper (only to the felt washers - not to the metal ones) will save about $45 and will be as good as new.
The main gear on the Big Senators can be removed from the outside (as seen)
The gear sleeve (pointed by the screw driver) is the numero UNO problem area of the Big Senators, I'll see during the build up if this one needs to be replaced.
Are you ready???
The bad news - this baby needs major clean and scrub job.
The good news - a lever drag reel would never be able to withstand this kind of abuse and perform flawlessly, maybe more hight tech, more precise drag setting, dual gears and flashy gold or anodising, but would never keep up with an old Penn Seantor!
Take a good look, the reel base seat is significantly bent, this is probably a result of over tightening the rod braces.
My dilema as the surgeon of this baby...taking it apart was not a problem, but is it going to line up and turn freely once I bolt everything back up and tighen everything nicely - MORE WILL BE REVEALED!!! 
OOPS, look closely at the main gear, it's a two piece with the inner ring pressed in, well it's loose, I'll see if I can savage it with my bench press by pressing it back in place, or replacement at owner's discretion.
The bridge assembly is coming off, keep your fingers crossed... after all this is WILL's TOP GUN with record setting catches under it's belt.
Here are all the main internals layed out, as anyone can see, a very simple and effective design going back almost 80 YEARS OLD with a few changes but basically the same as the first star drag reels!!!
OK, now the real work begins, I sincerely hope that I do not end up with more than just a few left over parts once I'm done. 
Please stay tuned will be back after the commercial break.
This is about the sport, the gear and the people.
WOw!!i had no Idea that my Penn Senator 16/0 was so loaded with sand and in need of heavy maintenance but I'm glad it's in good hands.Thanks Art .
The 16/0 in action on Hollywood beach with J.Terzado helping out
SOUTH FLORIDA SHARK CLUB -President SFSC-Founding Member est 1983 SFSC-Website Administrator BIG HAMMER SHARK TOURNAMENT -Founder Rene Memorial Sharkathon -Founder NMFS Shark Tagger
scout04,
asked me in Private Message:
im curious as to why you wouldnt go ahead and replace the drag stack with ht100 washers instead of refurbishing the original fiber washers. whne ive redone my senators i ordered new ht100 drag washers for the drag stack as well as an extra ht100 to replace the fiber washer under the main gear. this will increase the drag pressure overall as well as smooth out the drag significantly. i coat all the washers VERY liberally with cal's drag grease as well as all internal gears. the only grease i use is cals so when you rinse the reel after fishing if any is to get mixed up its all the same grease and wont have two or more kinds getting mixed together. in regards to the lever drags i fish my avets for 3-5 days at a time on the east coast of nc in blowing sand and wind and dont ever have a problem - just a simple fresh water rinse when i get home and they are goot to go. i do take them down at the end of the year and give them all a thorough clean and maintenance check for worn parts but thats it. keep us posted on the results of your build up - great post. again please dont take my comments as a troll at all - just trying to offer another insight that will helpfully put this beast back on the sand better than ever !!
scout04.
Thank you for your input. Please feel free to post.
HT-100 vs old style felt washers,
Old style Felt washers are noticeably thicker and softer than carbon fiber (HT-100) The felt washers tend to compress the more you tighten the drag, therefore they create more pressure than the super hard HT-100's which have a much higher shut down point. However with the HT-100's you have much more drag surface area (as you very well know) 5 washers vs 7 of the HT-100's. So it's a matter of preference, personally I favor the HT-100 (wet) just like you do, with Cal's grease. I do prefer the Yamaha Marine grease better than Cal's for gears and internals (other than drag) for it's superior water proof properties, I have not experienced any issues with the two getting mixed up as you cautioned.
As far as: lever drags vs star drags, as you pointed out you service your AVETS yearly, with the higher tolerances, the aluminum construction with higher propensity for corrosion and the disk drag accumulating salt, a lever drag would not withstand the years of abuse that a simpler, looser tolerances, 60 year old star drag would!
JMO.
Please feel free to comment, WE need MORE members like YOU in this forum. 
ART.