you've got a lot of questions there and i don't know the answer to all of them, but for one: yes, you can have more than one swap. just indicate in fstab which partition will be the swap partition for that distro.
swap is not detrimental to running linux. in fact it is necessary in many cases, and recommended at least in most.
i don't think distance away would be likely to affect speed very much, unless you were talking about having the swap on a separate hard disk altogether, in which case speed most likely would increase (depending on IDE configuration, etc.)
based on what i *think* you're saying, it's probably not necessary to move the swap partition. (it would be easier to tell what's going on though if you could post your fstab or disk layout more specifically, and also the size of the drive.

)
just changing the name of the partition wouldn't do much good and probably isn't a great idea. you have to create the filesystem type with fdisk, cfdisk, etc. (or with commands after you partition the space (mkswap /dev/hdxx, etc)). then when you've created the new swap, you can tell fstab to recognize it, as i mentioned in the beginning.
as to the question of what to do about rearranging the rest of the disk, that would probably take a bit of work if your root partition is one of the ones you want to move. otoh, it might be quite easy, i just have never done it. if you are going to reformat and reinstall everything anyway, then of course it would pretty easy.
hth
