i see this thing on my distributor and in my book it says its a crc filter.. what does it do exactly? must it be grounded with the little screw?

I'm not sure exactly what is does in this case but judging from what I gathered on google, it could be kind of like a line conditioner for power going to the distributer OR it could cancel out "alternator whine"(the high pitched noise you hear through the speakers of a badly grounded car stereo that varies with rpm.
If it's neither of those two... :shrug
Oh, and since noones said it yet.... sell it and buy a turbo. :P