Hi NRD, I have a couple of KLX250, one is 260cc and the other is around 300cc, I use 36mm carbs on both of them without any problem, I think 38mm might be a bit big and agree with JC, the biggest problem is getting the KLX breathing better. Be sure to put an 1-1/2" exhaust on it and open up the air box. The best gain is spending some time and getting the jetting correct, that way it punches right across the rev range. Others would know more about carbs than me but my memories of early Lectron carbs is that they were good at high revs (i.e road racing) but not so responsive down low.
I think a standard carb off a DR400 is 36mm and has an adjustable fuel jet in the pilot circuit- easy starting both hot and cold.
hope this helps
Cheers, Derail