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That looks like the fuel pressure regulator. Vac hose should be going to throttle body. one side has fuel line from injector fuel rail other is the return to tank. You said you removed vac hose and smelled gas - replace regulator- gas smell in cabin is probably from a small vac leak in climate control- vacumn is saturated with excess gas. When FPR goes bad they leak raw unmetered fuel into throttle body and consequently the vac used to operate climate control. This would also account for bad mileage.
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