1. Cant be moved easily - The locating holes are pressed like a dimple die so it can't really be elongated plus all the other holes would be misaligned. Looks like I'll have to go with adding some welds and grinding to fill the gap. grrrrrr
the flare is plastic you could move that hole or holes just a bit. small flat washer under the screw head if needed.
if you take the front few fasteners out does it come up to hide the problem?