That hose connects from the TB spacer to the coolant line on top of the intake & just runs coolant thru the spacer. But it looks like the other side of the TB spacer is blocked off. I would check to see if the coolant line where the hoses connect on the intake are blocked off as well. If they are blocked off then you dont need to do anything but if they are not blocked off then you can just get some fuel line & clamps to replace them. Cheap fix!!!
Some people dont like to bypass the spacer like that but I always ran a spacer between the upper & lower intake & blocked off the coolant lines to the TB spacer & never had any problems with my upper intake or TB getting hot.