It looks like someone shoved a piece of bar steel in the handle bars, I guess to keep down on the vibration.  Is this normal? The other bike has something in the handle bars too. I wanted to put vibration dampeners on mainly because they looked good and the grip cap keeps coming off. The guy at the dealer thought that it was wierd I figured I would ask the experts...

It is indeed - customs tend to have the bars filled, while sports bikes usually have bar weights screwed into the end of the bar.  
Either way, the extra mass damps out resonant frequency problems which could otherwise be bad enough to give you whitefinger on long rides.

Some people do stuff a chunk of metal bar into the tube, but a better tip is to take a pack of little fishing line lead weights, mix them with epoxy resin glue and spoon the mix into the bar end - works a treat.  

You can do the same with weights mixed in hot candle wax if you want to experiment with different weights, and to be honest it will stay in as a permanent fix.

If you have the bars off, plug the tube ends to a depth of an inch or two, and just pour in molten lead - you can melt a tin of cheap BB gun pellets in a saucepan to do the job.  Just 2 tips – don’t inhale lead fumes, and don't let the wife catch you doing that with her saucepan.

I think the Savage would look better done with internal bar weight and standard grip caps than with external bar end weights.