OK, I'll bite
Not sure what "moduled up" means in this context :S
1. Yes. In the idea I pitched (and which would be the same for several other suggested systems mentioned in this thread) the station is not yours - it belongs to the NPCs who built it, live there and conduct the day to day business. Also possibly to the major faction to whom they are allied. Your faction has simply risen to become the most influential player in the local area and as a result of this status you are offered, as a group, bonuses and discounts etc that are granted as % credit effects on your interaction with the station. Better purchase prices, more for exploration data, better bounties. In effect, the populace has got to know and trust (or fear) you and gives you special deals. It does not, however, effect anything whatsoever as far as players who are not members of your faction.
2. I presume you mean does the faction want to manage the selling prices of the equipment offered through outfitting? The answer is no. Again, your faction would not control the outfitting trades, but your faction members would receive a discount of, say, 1-10% on module purchases depending on their rank within your faction.
3. No. The station businesses manage their own affairs. The only benefit to the faction and its members is indirect through discounts etc, and the eventual ability to "suggest" the location for a new station to be built (a station which you would not own either).
The concept is the same as a CG (in fact, think of it as a private group CG that your group manages for itself as an ongoing project). The payout benefits would only be current while your faction has 51% or more influence over the station. Another player faction could replace you by working harder there on their missions, or an NPC minor faction could knock you from control if they were strongly backed by independent pilots performing their randomly generated missions.
This system doesn't disturb anything in the current game design - it just makes the mechanisms that are only available to the AI right now available to player groups.