I think it's a grey area to be honest, it's the general concensus that it's definitely not 60hz but no one can seem to decide if it's 57, 57.4, 56 etc though someone said it's the same as model3 which runs at 57.49 (allegedly) and tested that theory against elsemi's emulator and that at least does run at this refresh.
You need to check if it's actually 57.4 Hz (do a speed test with Arcade_OSD). If the refresh is fine, then it's a matter of tweaking the emulator itself. Bear in mind that even Vanilla MAME has difficulties to keep the sound smooth if the refresh is just slightly different to the theorical one.
Ah I forget I'm running an old version of VMM/GM on this cab, thanks I'll check that out 
Bumping a three year old thread which may answer some of these questions...
I did a bit of investigating on the vertical refresh rate of model 2 games myself. I plugged in my Extron RGB interface to the video signal of one of my Daytona cabinets and got the following result :

I then tried loading the Daytona rom in Groovymame and that detected the vertical refresh rate at 57.524160Hz (Sega Rally Championship displayed the exact same result too). If the Model 2 Emulator is displaying model 2 games at 60Hz, that is over 4% faster than the original arcade hardware, quite a significant difference in my opinion!