Battery has been replaced twice, and it tests good. I only have two cables going to the negative side of the battery. The heaviest gauge cable connects to the body. Haven't been able to successfully trace the smaller-gauge cable but it runs down under the body somewhere.
As has already been suggested, connect the heavy cable to the engine/transmission - this is the starter return - if it is not connected correctly (or at all) it will typically cause problems starting rather than charging the battery - but it is one possible cause of your problem.
The heavy-gauge wire off the starter connects directly to the clamp on the positive side of the battery, no fuse or anything in line. I've used a voltmeter to verify continuity between the lug on the alternator and the positive clamp. Checked the ground resistance between the negative battery terminal and the outside of the alternator casing. Get as close to zero as my meter reads so there should be good positive and negative connections back to the alt.
Lets not get confused between the starter and the alternator - from the factory, the starter main feed
always connects directly to the battery, the alternator output may or may not connect directly and more often than not, does not.
Also continuity is one thing, conductivity is another - connect a digital volt meter set for volts positive lead to the battery positive lug, negative lead to the starter's battery connection and then crank the engine. You've got continuity but I'll bet the voltage drop across that piece of cable surprised you.
Seems to me that for the voltage to be going as high as it does, but with insufficient current to charge the battery that the problem has got to be either in the alternator or in the regulator.
If I'm not mistaken the regulator is inside the alternator - and you said you already had that checked - it is possible to have one or more bad diodes in the diode rectifier bridge that will create a situation where the alternator can develop the required voltage and still be unable to deliver sufficient current.
A good battery going dead overnight is more likely to be the result of some sort of drain, a lamp left on or similar - the last time I had it happen it was my power amp not turning off when the head unit was shut down.
Connect a lamp in between the battery positive lug and the lead - if it lights you have a load drawing current, pull the fuses one by one until you find which circuit is causing it - some drain is normal, ECU, clocks, head unit radio presets, etc.