The lever is definitely a pump handle...
for a manual diaphragm pump. The question is, what does it pump, and to where? The toilet(which looks like it's definitely seen better days, btw) shouldn't need an external pump...and your mention of a "looped system" raises some questions. If you could provide just a rough sketch of the entire plumbing schematic that includes all the components AND thru-hulls, I should be able to tell you how the system works and what that pump does. It MAY be original, but that doesn't mean it was factory installed. Although federal marine sanitation laws went into effect in 1980, very few states were enforcing 'em till the late '80s, and any holding tanks that were factory installed were pretty basic installations--head to tank, tank to pumpout...that's it. A few, but mostly on smaller boats, were recirculators. What I can see of your system doesn't look the factory installations of the early '80s. So what you have may have been installed by a dealer or the original owner, or may have been installed later. Depending upon whether you're inland or in coastal waters, it may or may not be legal for your use. So while it would nice if someone else has the same system and can save you the effort of exploring the bowels of your boat for yourself, you're gonna have to do it to know what you have, what condition it's in, how to use it, and how to maintain/repair it. 'Cuz an emergency is NOT the time to START looking for hose connections, thru-hulls, valves, pumps and circuit breakers. No clue as to why the toilet won't flush--or worse yet, is overflowing all over the head and you don't know where it's coming from or how to stop it--when you have a boatload of guests can really spoil everyone's day too.So when you've figured out what goes where and can furnish all the information I need, I'll be glad to explain how everything works.