Does this allow me to use a module as a local module even if “connection:” is “ssh”? or does this allow me to call another module on the remote machine from the task’s module?
I see it used primarily in the network modules right now
Its designed to work with connection plugins that require a persistent, interactive connection (think CL) to the remote host. For 2.3 the only supported connection plugins for use with LocalAnsibleModule will be network_cli and netconf. The answer to both of your questions is no. When using any other connection plugin, the code path remains unchanged and the implementation will use AnsibleModule.