Absolutely, and, in fact, the apps2sd kludge on xtrROM (and xtrSENSE) is far more reliable than the official Froyo support (which often does not work right anyway.) Apps2sd on xtrROM moves all of your apps to SD - you set it up, and that's it - the apps are all automatically moved.
The xtrROM thread's first post gives all of the details and instructions that you need for apps2sd.
[ROM][GPL][11/5/2010] xtrROM4.6.5 [cache2cache,apps2sd,jit,lwp,oc] - xda-developers
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Yes, it's a bit of a pain to partition your SD card for this, and it makes it more difficult to switch back to a Froyo ROM - since most of them will not mount the SD card if it has more than one partition. All that said, quite frankly, I think that apps2sd is unnecessary on xtrROM. xtrROM copies the app data cache out of the /data partition (where all of your third-party apps and data are installed) and moves them to the /cache partition. With all of my apps installed on CELB Froyo, I usually have about 20-40 MB free storage; on xtrROM, it is more like 70-80 MB.