Define "hot". These cars (in stock form) are notorious for high temps before fan turn-on.
GM's OE fan-on thresholds are the problem. The solution is to reprogram the pcm.
This is exacerbated by the fact that the gauge is tied into a (different) sensor in the head.
And the PCM is tied into the sensor in the water pump. They see different readings.
You really do want the gauge sensor in the head so you can visualize an overheat condition sooner than the waterpump will see (a head will overheat instantly with poor coolant flow).
Whereas the PCM sees more normalized readings at the water pump and will control engine parameters without overreacting to things like hard pulls or hill climbs.
If coolant flow is ever compromised, it is entirely possible for the dash temp gauge needle to indicate overheat while the H2Opump temp sensor merely indicates 221F.
That's why the dash temp gauge needle is so important.
(Note that Fleetwoods lack such a gauge, and the OE overheat warnings may be too late ...)
First do what was suggested. Unplug the temp sensor on the WP and wait a minute.
If the fans turn on, then it's under control of the PCM. Your gauge may be off in this case.
It's important to note that if the dash temp gauge needle is 'off', it may be UNDER-reporting, which is potentially dangerous.
(Obviously OVER-reporting is better, and accurate reporting is best.)
I would purchase a cheap IR temp gun and shoot the thermostat housing when you think it's running hot and verify temps.
This assumes the H2Opump is working properly, coolant flow is normal, radiator fans work well, and coolant is not chemically compromised.
(FWIW, 220f degrees is "normal" for a B-Body)
Again, with GM's OE fan-on thresholds, yes this is 'normal'.
However, it is not necessary for any LT1 to operate normally and ever reach 221F.
Re-read the above. A pcm tune not only improves performance, it also gives peace of mind.
When you used "multiple scanners" -- what were they reading as the coolant temp?
The H2Opump temp sensor readings should be compared to the dash temp gauge needle indications, especially if one wants to learn about how a 30 year old LT1 cooling system behaves.
If you determine the gauge isn't reading correctly, this is common.
The needle moves on the shaft and they go out of calibration. It's also fairly easy to fix.
I did a YouTube series about this and plan to do some followups.
These are eagerly awaited ...