1.25" string follow is excellent for an oak board bow. Looks and sounds like you're doing well.
Making the bow wider, longer, and/or lower draw weight (from the beginning) can reduce set. But some set is good .... It tells you the bow is not too overbuilt. I think overall you can't expect much more from a 1x3 oak board then you've already got.
Sometimes you can shorten (pike) a finished bow by a couple inches and increase the weight, but it will also cause more set. With this bow, I would not shorten it. The string is already at about 90degrees to the tips so there's really no more draw length left, and if you shorten it, the angle will get worse.
Build another if the few pounds is critical.
Maybe hickory board for the next one if you do another board bow?
Since you've got things down pretty good, maybe you wanna set your sight on a backed bow for the next one? Hickory backed hickory would be cheap especially if you have a sawmill/lumber yard where you can get straight grained hickory. Same rules apply as when choosing an oak board.
Or you could go bamboo backed Hickory, which would wrk although isn't ideal really. Bamboo backed Ipe or bamboo backed osage would be best.
Cheers and nicely done!