johnpeace -
Here are the library links for the information on adjusting the cables. This will raise the top and give you a proper seal.
There is a section on adjusting the cable in the owner’s manual,
http://www.hilotrailerforum.com/f49/...2004-hi-lo-78/, don't worry about the year model.
Here's a document that was written by a Hi-Lo owner,
http://www.hilotrailerforum.com/f61/...1998-24td-125/
We don't have a document in the library for removing the hydraulic cylinder yet and we could really use one. What would be great is after Sam tells you in general how to do it, you could make a few notes to fill in any small details while you did the work. Optionally even take a picture or two. Then If you'd send me the procedure and the pictures I'd make them into a PDF file and add it to our library, giving you, Sam and anyone else credit of course
Neal