In the past (pre-8.0), all the distribution information was contained
in the .prj file, but in order to better support more flexible
distributions that could include output from multiple projects,
distributions are now workspace-associated (in .cds files).
The .cds file
does contain all the settings needed to build a distribution. The .cws just contains a list of references to the .cds files that are included in the workspace, very similar to the way it contains a list of projects that are in the workspace. So, assuming you sync down only a project file, source files, and .cds file(s) from your repository, when you first open the project a default .cws workspace file will be generated for you. This workspace will not automatically include any distribution information; you will have to manually add any .cds files (via the Add button on the Manage Distributions dialog), but once the distributions have been added, you should have no problem building them. So assuming you are willing to manually add all the source-controlled .cds files to the workspace the first time you run your project, I would not worry about source controlling the .cws.
Let me know if you have questions.
Mert A.
National Instruments