Not enough converter to flexplate clearance or converter ballooning caused the pump stator wear. The valve I think your referring to is a cooler line bypass. It will be fine either way as long as you don't plug the cooler ports or end up with a plugged cooler down the road.


Hutch

 

The converter pushed the inner pump gear into the stator body. Double check pullup clearance on install.
The second picture shows the cooler bypass valve. I have to assume this picture is from the damaged stator body, or your question makes no sense.
If the replacement stator body doesn't have this provision AND you are doing a stock rebuild, you will be OK

 

First picture shows the scoring on the original pump. I used a spacer between the flex plat and converter to reduce play. that got me positive engagement on the pump but I guess it was too much / too tight? How much play should the converter have had after bolt up? On the original install it was prett tight?

The other pic shows the ball valve missing on the new pump. Do I need this ball valve on the new pump? What purpose does it serve? The new pump it's machined for a ball valve like the old pump.

Thanks for the help, Fritz.

 

The converter should be 1/8" behind the flexplate when fully seated in the pump and the trans is bolted to the engine. This allows the converter to come forward out of the pump for proper engagement.
The second pic shows a poppet valve cooler bypass instead of a checkball. It will be fine