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jrCore_list will go grab a list of whatever its been requested to get.
Jamroom has a system called 'events' and 'listeners':
Docs: Events and Listeners
https://www.jamroom.net/the-jamroom-network/documentation/module-developer-guide/1011/events-and-listeners
in summary, there are a bunch of 'events' around the place that other modules can 'listen' for. This allows another module to manipulate the data without each module needing to know that the other exists.
During the jrCore_list call the jrSearch module registers a listener. When the point in the code is reached the query that the jrCore_list call is building is passed to the event which shares it around any module with a registered listener; they do what they want to with the data then pass it back into the flow.
After the jrSearch module has finished it's changed the SQL query that is being run. I think from memory what it does is it grabs a list of items that match the search term and then passes those ids into the main query in an
_item_id IN(1,2,3,4,8,67,95,124)
type structure, so only the items in the originally requested jrCore_list call that are also in the list of item_id's that have the search term in them are returned.