I had mine apart when I rebuilt the motor, and I can't honestly say what was there. GM shows both as being used in the oil cooler setups, but I'm 100% positive one of the motors I took apart (and there were a couple) didn't have a flat paper gasket.
According to the exploded parts diagram of the 5.7L in this same manual, the non-oil cooler adapter does NOT use a paper gasket.
I don't have a block apart that I can look at the sealing surfaces, but the o-ring in any case is the outermost seal/gasket even if there is a paper one. As I recall the paper gasket is there to prevent some pressure from leaking, but if it isn't used on the non-oil cooler setup, not sure why they used it on the oil-cooler adapter. It might be because the oil cooler adapter is aluminum, the (non-oil cooler) bypass valve assembly (what GM calls the piece the filter threads onto) is steel.