Not quite sure what you mean, but # is just a line break in the dialogue, right? You have to tailor your edits to the width of the text-box for that particular piece of dialogue. Frustrating, but what can you do. I've done a lot of stuff like mostly changing 'ass' to 'arse' because the artwork (and especially Chloe) somehow look way more British to me than American. I have made some more extensive changes, like I made the male teacher a libertarian/sovereign citizen kook because they're more fun to take the piss out of. Also made the landlord Chloe's dad because 'landlord = father' is kind of a tradition in these games by now, lol.
Other stuff is like fixing typos, re-phrasing oddly translated dialogue, that sort of thing. It's a lot of work and doubly so when an update happens (thank God for DiffMerge lol).