I am trying to follow along from my Hot Shot and its schematic, although there are some small differences in circuitry since HS is a 4-player game. Refer to row 21 on the schematic between E and I.
Here is my guess at what a previous owner was trying to do:
Since there was a plastic spacer missing on that Motor 2C switch, that switch was probably never functioning properly when the score motor rotated and thus, was not energizing the #1-7 target bank reset solenoid (shown at 21-H/I on the schematic) reliably. Perhaps the owner could not find a replacement spacer, or maybe did not even realize it was missing? It would seem to me that he was trying to bypass the malfunctioning motor switch 2C by rerouting the blue wire shown on the right side of 2C to the right side of Motor switch 3B (orange wire) to instead trigger BOTH target bank reset solenoids off of the functional switch at Motor 3B (that was intended to only energize the #9-15 target bank reset solenoid).
Since you have repaired/replaced the missing spacer, I would put the blue wire back where it belongs.
Lee