"Skeleton swapping must be enabled in the ini and in game or werewolves will appear tailless." - From the ReadMe.

How do i change this setting in the INI? I don't know where ot find the INI or how to change it. anyone able to help?

The ini file is in the data folder, it's called "CurseOfHircine.ini".
If you haven't edited it then model swapping should be enabled by default.
You also need to make sure you made a clean save if you had the previous CoH 3.5.

i had that done already. i never played COH 3.5 on that save. also, i have looked in the Data folder, I see no CurseofHircine.ini. I don't see ANY INI files in it.

EDIT: My INI files are called Configuration Settings on my system. So CurseofHircine.INI appeared as CurseofHircine.
HOWEVER, my question on HOW to edit this stays the same. HOW do I edit this? I have OBSE 19, because otherwise it wouldn't run at all. the settings refering to model swap are set to 1. what should they be?

EDIT 2: i see another option that says it will change the animation to a 4 legged running animation. it is set to 1, makng me think it is set to OFF. does 0=ON and 1=OFF for this mod? For clarity, i have NOT changed any settings.

Looks like you were able to edit it. In this mod 1=ON, 0=OFF as it is normally the case. What made you think that 1 = off?

i was able to get it working. the real problem was in that the OMOD doesn't put the animated tail folder inside of the data folder (it is a manual movement) and the running animation doesn't occur if you have your claw-dagger that raises h2h skill. (i love it but it acts really oddly. ) because i was running with my weapon out, i did not see the running animation. My brain acts weird when it isn't really actively thinking about something.