A stored procedure cannot be used where tables are expected. You must either use a table variable, subquery, or table function. For example (not sure if this is true, I have never used it before MERGE):
DECLARE @Something TABLE (columns go here...)
INSERT @Something
EXEC [dbo].[sp_Something] @Rundate = '5/13/2011', $SPID = 56
MERGE table as target
USING @Something
AS Source ...
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