Howdy Jim:
Yup. The DSII will work just fine with your Calif 1100. Open the plug gaps to .045" or .050". Be sure to take the distributor, connected to the coil and the Module, and the spark plug wires.
YEs, there were alot of EPA crutches used on these models to meet standards. There was only one casting found so far that is more trouble than it is worth and that is a head found on an '80 Mustang with a DG suffix. It was a D7xx code.
E0xx head castings have all been fine- just an extra port on the side, below the carb flange. Some have a vacuum tap on the front corner of the log. Both are easily plugged.
88,000 miles is not too bad for these high geared econo sedans. Since you have it running I'd suggest a cylinder compression check. It's likely sucking a little oil at high vacuum. the 28 year old valve stem seals are long gone.
A couple of things to look for- What trans is in it? If it is an Auto, check the fluid. Is the brake pedal pad badly worn? What you're looking for is were the miles city or highway driving? Worn brake pedal rubber pad usually indicates a city car- not so good.
The thermatic air cleaner is one of FoMoCos better ideas. I don't particularly like the holley 1946 carbs because of their complexity and all the EPA crutches and limited tuneability, but I will always take the air cleaner system. The valve cover and throttle pedal and cable are also keepers.
Well, keep us posted on your progress and enjoy.
Adios, David