Shouldn't the intake be opposite of what you show? I just realized that because my dust collector in my wood shop is set up with a centrifugal blower like you have there only bigger of course. You need to mount it to the collection hopper and the suction hose needs to go into that so the heavy material will settle out of the air steam and the exhaust will need a dust bag of some sort.
Here is a diagram of what I have:
