After installing the library (and attaching it), edit the MDCAT object on your computer before dropping it on the emulator by removing that first line (the one that starts with "%%HP").
Now drop it on the emulator, then execute STR-> (right arrow can be typed with <right-shift>0). You should now see the previous string having been converted to a list object in stack level 1.
STO the new list object as MDCAT in your HOME directory (or whichever directory you intend to be active while executing MODA).
Note that libraries are generally not editable, so you may not be able to "re-program" any of the features that MODA offers. You may still be able to reconfigure it, of course, presuming that it has features to enable that type of functionality.
Hope this helps!
- David