Yes, this could be causing your running hotter than before (air trapped in the cooling system). That BB/hole is for bleeding out air that may be trapped in the cooling system. It's orientation is critical. There may be info in the FAQ's, have you checked there yet? I KNOW for a FACT that a search on the forums will reveal the info you seek, lot's of data on thermostat's, water pumps and cooling systems in general. If I am not mistaken, and I will be corrected if I am (;-)), the t'stat should be oreintated so the BB/Bleeder hole is at the 12 o'clock position when mounted in the t'stat housing.