I see what your trying to do and the image you have as a title image is too large, because the template also has ads up there so it is forcing the template margins to the left, I think what you need to do is modify your CSS to get the title to lay over the template. could be tricky maybe lynne could direct you in the right direction, I don't think I have messed with custom styling in css enough to help. and the blog background should be in admincp/Styles & Templates/stylvars/ not sure if its in block backgrounds or feature blogs background , im not running blogs
and the navtabs thing is because you have the template all jammed up with that over sized title image :>
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