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Both sides are actually rubbing, just one looked closer to the arm than the other. I already checked the bearings and everything looked ok. I ordered 1.5" spidertrax spacers. Will have it aligned after. Hopefully everything turns out fine. I did discover a leak from the power steering, so the fun will continue. I will update with pics and info.
Final update: I installed 1.5" spidertrax spacers and ended up having to hammer the pinch weld on both sides. There is finally no rub. I can't really feel any difference while driving now that the spacers are on. Here are some pics. Thanks everyone.
Tire wouldn't rub there on the arm without the bj spacers. I ran 35 x 12.5 on the factory wheels on mine for a while with all stock suspension. They did rub of course but not on the control arm. I have since put them on a set of Chev rally wheels from the 80s, way better. Still stock suspension tho.