The dryer may be fixable at a reasonable cost. Including a model number in your post facilitates others to give suitable advice. Parts listings & diagrams can be found online ... but not without knowing the model number. Was it having this problem in August 2010 when checked by the repairman, or the trouble developed later? There may not have been anything wrong when he looked at it then, or he may have missed finding the problem.

I am out of town today. Will let you know later. But it was having the same trouble in August. It was knocking before the Guy came so dh and I took the whole thing apart.
It takes an 80 mintue cycle plus longer to get towels dry. I need a new one, can't take it any more.
I am also looking for a dryer that has a full dry sensor setting. This one had More Dry but it leaves them damp.

More Dry, Very Dry, Fully Dry, etc. all mean the same thing, at the maximum end of the available range on whatever machine is involved.

Sounds like you're having more than one kind of trouble ... possibly clogged exhaust ducting causing the long dry times. If that's the case, a new dryer possibly won't be much better unless the clog is corrected as part of the new install.

Depending on the specific design of the dryer (which is why I asked for the model number), there can be more involved than just rollers and felt ... some machines have nylon or teflon bearing slides that support the front edge of the drum. A worn belt idler or broken fan blade can also cause knocking or excess vibration.

Okay, Its a Kenmore Elite MOD 110.64972300 I think its a whirlpool brand actually.
We had the ducts cleaned out last year and they did the dryer venting as well so it shouldn't be that.
Yes, it has several issues.

The 27" Whirlpool design. It has four drum support rollers, two at the front and two at the rear. No bearing slides. The felt at front and rear of the drum serves only a seals against air leakage. Not much that can be a source of discoloration on clothes. Maybe if the front and/or rear edge of the drum is wearing on the front or rear bulkhead due to worn rollers or a misalignment ... although you say the rollers have been checked.

Lint can accumulate in the filter duct at front, in the blower housing, and there's a 4"-diamater duct that connects from the blower housing and leads out the rear (or to the sides or bottom if alternate venting).

Other things to check are the output air temp (at the exhaust immediately back of the dryer), should reach between 155F and 165F on high temp, and confirm there's proper strong airflow at the exhaust outlet outside the house.

The reason I think that its the drum is because when I turn the drum I can see that there a large gaps at some points and then it rubs really tight at other points. It even squeaks at times because it hits that spot so tightly. The dress that I just purchased and that is now covered in brown streaks was at the back of the dryer when I pulled it out which also led me to believe it is the uneveness of the drum that is causing this problem.

It will cost $50 just for them to come look at the thing and I don't want to waste any more money on it. DH is not one to through money out the window and he is backing me up on this. So now I just need to find the new perfect dryer for us :)

Hmmm. About the only other thing I can come up with in regards to the symptoms you describe is if the drum is coming apart at the seam. A replacement drum is $156 at SearsPartsDirect.com ... less than a new dryer, but perhaps more than you'd want to invest. If your plan is to dispose of it upon getting a new one, I'd take it and fix it if I was nearby for fetching. :-)

I am in North Idaho - come and get it :)