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The rubber pad glued to the spring protects the spring from the rough surface of the iron. The plastic block is for lifting the ass-end about 3/4 of an inch.

^ don't necessarily agree with that synopsis, the purpose of the nylon *replacement* block is to provide a *soft* sliding surface for the end of the spring to move back & forth on so the spring doesn't rub against the cast iron knuckle which would destroy the spring in short order. Dorman does make an OEM replacement for the lost rubber insulator, but there's much to do to get the bottom side of the old spring clean enough so that the included adhesive with stay there. Your knuckle castings are looking mighty rough, a smooth surface is needed for the rubber isolator to properly flex, all that rust more than likely had something to do with the isolator breaking free.

First Guess: Copper washers on the brake hoses. A) there's two per bolt, not one. B ) the washers work-harden when the bolt is tightened, they should be replaced not re-used. Second Guess: Loose or defective bleeder screws. Third Guess: Someone disabled the park brake, the calipers won't adjust properly. Beyond that, wash it off, fill the brake reservoir, and have someone start the engine (to get power to the brake booster) and stand on the brake pedal while you look for fresh leakage.