This is the part you mean, #6 or P/N 309607 on ME’s diagram. No. it doesn’t ride on the shaft, it fits on top of the pump housing and I’m sure the outer O ring shaped part of it makes the seal with the exhaust housing. I don’t have a 9.5 exhaust housing handy to verify that but some other models use just a large O ring. The inner floppy part is like a dam to help keep water inside the finned area of the pump housing. The fins in pump housings help to keep water from sloshing out of the pumps well because the impeller will suck air into the system if it gets dry in there. Right below the water tubes rubber grommet is a small hole which feeds water to this area. When replacing the grommet, make sure this drilled hole is clear to help prevent the motor from running hot.
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