Okay, finally did it. It seems my NG2 skills are very rusty, as I lost 2 lives during 2-2, and lost my last life on Baron Spider. I then started 2-2 over, and made it through fairly easily the second time. I made it to 3-2 where I lost a life in the room where the 3 birds are. I then made it to Funky Dynamite and beat him with one hit point remaining.