Will the converter work for this version? Also, do I need to just upload that to my forums directory?
Yes, the phpBB converter will work with all phpBB 2.0.x versions (it should anyway - I don't think anyone's tried it with anything older than 2.0.8). To use it you just upload it to your SMF directory. Make sure that either phpBB and SMF are installed on the same database or that the MySQL user account being used for the SMF database has access to the phpBB database.
wait, I install them both and then convert?
Make sure you get the converter file from THIS thread http://www.simplemachines.org/community/index.php?topic=65677.0 othewise it won't work.. take my word for it. I was going nuts to convert my 2.0.19 with the convert.php file that was listed in the Converters 1.1 thread.. it doesn't work. Grudge fixed the convert file and it seems to only be linked in that thread. The original convert file was like 56 kb's.. the new one is almost 60 Kb's in size and that's the one you want. Along with the phpbb2_to_smf.sql file.