Hi Rich!
Congratulations on the new lathe - you will love that machine!
Unlike the 1.5 HP version of the 1642, I believe the 2 HP version requires 220V, and does not include the possibility of wiring the machine for 110V service. The machine comes without a "plug" (actually termed a 'cap') because there are likely different options available to provide local electrical service to the 1642, including hard-wiring the machine directly into a switched box without a receptacle. Yes, you would cut off the spade lugs and ring connector (ground) if using a service cap of appropriate NEMA configuration for voltage and current requirements. If you haven't already checked, be sure the 2 HP lathe has at least a 15A 220V service, with the correct type of receptacle, and obtain the correct type of matching cap to connect to the end of the cord.
I have previously posted recommendations on how to tune up and 'tweak' your Jet 1642 to provide optimal service, particularly for making some refinements that will pay dividends of ease of use long into the future. Cleaning up the castings a bit by chamfering them (i.e. remove sharp edges of the mating surfaces) and removing any additional rough edges of the bed, along with the bottom mating surfaces of the headstock, banjo, and tailstock will improve the lathe's sliding functions to make adjustment much easier. Periodic maintenance and clean-up of the bed and related areas will keep the lathe performing well over time. It's also useful to know that most of these tweaks need to be performed only ONCE in the life of the lathe (i.e chamfering the bed edges, and sharp bottom edges of the headstock, banjo, and tailstock), and are best done when setting-up the machine in the first place.
Be sure the lathe is carefully adjusted for good floor contact of all 4 feet, and that the lathe bed is level front to back as well as side to side.
You can have a look at the following link to access a previous AAW Forum thread on this subject where I make some additional recommendations about setting up the 1642:
http://www.aawforum.org/vbforum/showthread.php?6021-
Good luck with your new machine and above all,
TURN SAFELY ! ! ! !
Rob Wallace