Welcome to the forum.
For # 1, unless you are really good at writing code, I doubt that you can hack that limit, as it's hard-coded in for "the masses".
For # 2, others will have to help you. When doing anything for YouTube, I always Export, so that I can fully test, then manually upload. Also, I work in SD, so really have no clue as to even suggested manual H.264 settings for YouTube. Others will likely be able to give you some input on what PrE chooses, and how to manually match those.
Direct upload has always been a bit iffy.This FAQ entry (How can I get the best quality on YouTube?) describes two methods for preparing Shares for YouTube uploads. There have been many positive reports about the second method.
Insanity is hereditary, you get it from your children
Just now when I went to share to YouTube in Premiere Elements 9, there was a message that presets were being downloaded. The limits are 2GB/15min.
I wonder if the same thing will happen in Premiere Elements 8.
In preferences, you may need to allow internet connectivity.
Interesting, because mine is PE8 and it doesn't seem like PE8 gets the presets from YouTube regarding each individual account.
Did you have a menu to select or how does it work?
It isn't Youtube but Adobe that's downloading the presets. All I did was click on Share > Online and then out of nowhere the downloads started.
Thank you for reporting. I was unaware that PrE would/could update the YouTube Presets. That is interesting news, and changes some of my prior thinking.
I started up Premiere Elements 8 and then went Share > Online and could see the "downloading" message in that version as well. However the description that displays shows 2GB/10min limits. I wonder if you could actually upload 15 minutes to YouTube despite what the display shows.