The song is not particularly salacious -- another in the long list of semi-veiled double entendre hokum offerings. I doubt that the lyrics were the reason for it not being issued; more likely it stayed on the shelf because it's a bit pedestrian and not quite in step with with the blues market of the time. It was recorded for ARC on March 3; 1937 and doesn't seem to have seen the light of day until it came out on a 1991 Columbia reissue. I have that on a CD, Columbia CK-46783, "Raunchy Business: Hot Nuts and Lollypops"; there might have also been a vinyl issue. It is also on Blues Documents LP BD-2077, and Document CD DOCD-5309 and subsequently on various wink-wink-nudge-nudge "dem ol' dirty blues" issues (see YouTube).
As far as I know, Barrel House Annie hasn't been identified. The notes to the Columbia issue suggest she might be Aletha Dickerson, but in an interview published in Alex van der Tuuk's "The New Paramount Blues Book", Dickerson is quoted as saying that although she was working for ARC in 1937, she does not recall Barrel House Annie. Despite this, it seems likely that Dickerson was the pianist on both Barrel House Annie sessions .... but not the singer. Annie made five tracks for ARC. Two from the March 3, 1937 session and one from the March 31, 1937 session were not issued; the other two March 31 tracks came out on Vocalion. Four of the five tracks are on BD-2077 and on DOCD-5309 (as "bonus tracks" to Lil Johnson Vol 3); missing is "Think You Need a Shot" -- almost certainly a reworking of Walter Davis' 1936 track.