That valve is normally open (takes vacuum to close it). That being the case, leave it as is and the heater core should get hot water. This is a fairly common mod in hot climates to improve A/C performance. If you want to make it functional, you can put a vacuum tee in the hose going to the plenum valve (door inside cowl on passenger side). That door closes with vacuum in "Max" A/C and by tapping into it, it will shut off water to your heater core possibly lowering A/C temps. I guess, after looking at your setup there, that probably won't be an isssue seeing as how there doesn't appear to be a few important pieces that are required to make the A/C function. With that in mind, leave it in or take it out, it shouldn't matter either way.