The item shown in your pic is a pressure switch/sender. Used only on some versions of the last generation sv-equipped Scout II, it's part of the vacuum control for the emissions system and operates in conjunction with the various low and high temperature-controlled vacuum switches. Those switches in turn control the vacuum apply for the egr and distributor vacuum advance. This was a system used on the kalifornikate-emissions sii with the 345, or the 49-state rigs equipped with a 304.
The switch is screwed into the test port for the kickdown servo.
If the emissions system on the subject vehicle has been "optimized", then that switch serves no purpose whatsoever and can be eliminated if need be. It threads into the test port on the case using a 1/8" npt thread.