The factor motor mount/counter shaft assembly is probably a very prudent way out of that situation. What's there obviously worked, but as I'm sure you know, 90 percent of the effort, and 90 percent of the functionality, is in the last ten percent of the details when you're building things off of the stock rack...
The factory back gears are long gone on that machine. Broken teeth is a common failure. (Typically from stuck chucks, poor judgement, and big hammers). I don't know as I'd run off after a factory offset bushing just yet. (But maybe, if the dimensions line up) My guess is that this "wheel" was a more convenient handle to engage/disengage the back gears, since they obviously wouldn't be needing a tension lever, as the "good enough" counter shaft was done without it. The bushings are both locked to the straight shaft, and should both turn with it. You don't need that "wheel", but that exact bushing fits, and (apparently) does it's job.
I think I might see some gold color where that wheel is joined to the bushing. If it's braised, it can be released with heat. (Torch heat, you're not gonna do that with a propane torch). Were that me, that's how I'd start off. Doing what it takes to separate that wheel from the existing excentric bushing.
It's pretty obvious that this machine had a hard life, but it looks to have been in the hands of somebody quite capable. Maybe a dedicated machine for "some" operation(s) The repairs on the backgears (quite possibly the spindle gears as well), the remade cross slide handle. "Original might be gone, but it looks to be in a condition that could be very functional, probably even proper looking, with very reasonable effort.