I helped a buddy install a Works Rear Sway Bar on his Evo 9... we set it on the middle setting and it looks like it's basically touching the rear cross member... would this pose a problem other than the occasional clunking from bumps?

 

I have the same setup on my IX. I don't have any clunking or any other issues and it's set on the middle setting.

 

The bar fits pretty snugly in there, but it shouldn't actually be touching. You should be able to slide a piece of paper in behind the bar and it should clear. As long as there are no rattles or buzzes coming from the bar you should be fine.
-Bill@WORKS