Hi,
The physics of the impact are quite complex with this model, so the timestep size around the impact will naturally be very low.
I noticed there is currently only one symmetry condition in the setup. Are you running half of the model, or a quarter of the model? It would be best to run a quarter of the model only.
Finally the timesteps look a little large. From a hand calculation, the impact should occur at around 0.006 seconds (16.67 m/s and around 0.1 meters of gap). In the current settings, we are starting off with 0.005 seconds of step size, so this could be lowered a little further (see a rule of thumb here).
Cheers