Which shop? Sounds like the guy is unreasonable, but he's going by the book on the turn signals. I believe they need to be a minimum distance from the center of the bike to pass. I don't know if they need to be OEM, but they may not notice if you buy an OEM-ish looking set. As for the costs:
- 1 left grip ( a pair is as cheap as $10)
- 4 turn signals ($20-$50 for a set of 4 on the cheap side)
- hardware for gas tank were missing but they are both there just not OEM (what exactly is this hardware?)
- one brake caliper bleeder cap ($1?)
- one of the four screws that hold my chain guard ($1?)
So your bike isn't worth safetying for $60?