Personally, I would be inclined to move it if possible. I have seen brown paper backing that's bonded to fiberglass insulation. It's pretty hard to remove or cut the paper without thinning the actual insulation layer. If it's an internal insulation layer, that may not matter much. If it's part of the outer building envelope, that's more of a problem. Also, the paper may be acting as a vapor barrier of sorts. Does the paper seem dense, plasticized, or chemically coated?

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