Followed that and have 3.4 selected now instead of 2.7. The problem gets weird as different packages will complain. Sometimes it will be sys-apps/file, sometimes pyrex, sometimes pycrypto, sometimes util-linux. I never added any python hacks except when emerge asked for a use flag, but all of those were in package.use which has been moved.
After running ego update, the only thing in /etc/portage/make.profile/parent is:
gentoo:funtoo/1.0/linux-gnu/arch/x86-64bit
gentoo:funtoo/1.0/linux-gnu/build/current
gentoo:funtoo/1.0/linux-gnu/flavor/workstation