If you have a TFI, or thin film ignition module, it is mounted to the
distributor. I think most Fords of this vintage had them.
The spout connector is an elusive item for the uninitiated, took me a
while to figure out where/what it was messing with my car sometime ago,
when I moved from carburated vehicles to more modern, fuel-injected,
On one end of the TFI you'll see a connector with a few (five or six
maybe) wires coming out of it. Two of those wires lead to the same
connector a few inches away. The two wires go into one end, none come
out. The other end of the connector has a plug on it that you remove
to set the base ignition timing. It's probably wrapped in black
electrical tape or whatever they used at the factory.
In layman's terms, the plug basically acts as a short between the two
wires to allow the computer to control the ignition timing. Pulling
the plug out "opens" the connection between the two wires to eliminate
any computer signal when setting the base ignition timing.
While you're at it, your brother might want to check the ignition
timing if not already, given that he installed a new block and probably
messed with the distributor. I don't think you can't time the engine
properly with the spout connector on.
Hope this helps,