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That appears to be a system to run the spot-free rinse through the high pressure pump at a reduced pressure. The unit to the right in the circle is an Erie Motortrol valve that switches the water source between city water and spot-free. The solenoid opens when spot-free is selected to allow the second regulator to drop the pressure.
The "better way" is to have a separate pump and solenoids for spot-free and tee the line in at the boom. Your changeover time might be a minute or more now, but with it tee'd in at the boom it will be five seconds at most if you run 250 PSI.