There's a serious sound problem with that, when the sound stops, the sound doesn't get destroyed, so if you fire with the sniper 100 times in the area, go away from the area and go back, you will lag as hell.
I don't think this kind of issues happen because of a outdated driver problem.
There are actually MAANYY guys trying to fix the problem by the same way and no one can make the modification work properly...
Another solution must be made, I'm trying to find a way to make some visual bugs reproducible on my old computer as my other one has a Intel Graphics Media video card.
engineSetModelLODDistance should help you, it's like a setStreamLevel but it doesn't destroy the element at all when you're far (the collisions don't get destroyed).
EDIT: There's actually a setElementStreamable function you might know, and well, that doesn't seem to work .
Those servers are Deathmatch and Race servers, they can't reach even 60 players.
Actually, I don't think the MTA team can do anything about that, but there's a blacklist feature for 1.2 that will help to stop those kinds of troubles.