Part of the problem is that flooding/burning is directly tied to damage in vanilla - the stock torps do not do enough damage to cause continual flooding, whereas the damage added via the critical hits mods gives them that damage level that allows continual flooding.
Same deal with burning and the deck gun critical hit mod.
Short version: Either fix the flooding/burning issue by upping damage (Critical Hits Mods) or by fixing the flotation model (This mod)
Using both is overkill - but then again this mod doesn't change the warships or tankers yet... so maybe as a stopgap
Anyway I tested this mod out, it faxing kicks butt, and with the critical hits mod -2 Carriers, 1 shot each
... and so in the name of realism I'm ditching the critical hits mod because the fixed flotation for the rest of the ships can't be that far off!