Those are issues of normal new rig/technique stuff you will need to get through. It will come easy enough.
Fly sparging, my current rig the HLT is top tier and my MT and BK are sidexside on the single plane. Gravity into the MT with sparge water. All my hoses are setup thru the pump. I have enough head pressure in the MT with sparge water to gravity out my wort into the BK until I have at least 7/8th of my preboil volume. I will then hit the pump for the final 1-1.5g going into the BK. So even though my MT and BK are on the same plane gravity and head pressure in the MT is what makes it happen.
On a single plane, you can use your water pump to get a few inches of sparge water above your grain bed. Have your MT out thru the pump and into the bottom valve of the BK. Once you figure out the rate of wort flow with the head pressure you should only be running your water pump during sparge and the wort pump shouldn't be running at all until your head pressure in the MT meets the level of wort in your BK. Thats the time I throw on the wort pump for that final 1g or so. If its easier to yak this out on the phone let me know, its pretty basic stuff actually.
As far as the rust, not sure if you saw all those posts over at HBT or not. I thought about going welded with my stuff but Ive been flawless weldless for 10yrs or so and considering going weldless in my electric rig because rust is not much of an issue.
OK, sounds easy enough. I will give this a go next time. So you basically just stop when you have reached your desired starting volume?
I haven't seen the rust posts on HBT but I do remember you telling me how people were having rust problems on the elements. I just think its weird that it's only happening in the HLT and not the BK. I thought about trying the silicone thing for now like drez said but I really don't see that holding up over time, I don't know. I have heard that they make these elements in SS now, so that is always an option.