Both of those things you are describing sound "broken" unless you're doing something else that you haven't mentioned.
Regarding the recording volume thing, are you sure you have the 'live' level knobs turned down? You have to use one or the other.
On the distortion channel, seriously, I can't imagine why you'd need the recording volume that high, and what you are describing sounds like you're driving the output channel. I use an M-Audio FW Solo and have also used a Presonus Firepod, and sometimes run a Presonus mic pre in between, and the signal out of the Rec Pre is really, really hot even at about 9 o'clock (on Ch 2 I'd have the Gain around noon and the Master around 3:00, on Ch 1 the gain around 8:00 and the Master pretty much dimed.) To use the live outs into my power amp I have the live level at, like, 8:00.
edit: It's possible to get a pretty unpleasant sound like what you are describing on Channel 1 if your 'combined total' of Gain and Master (if you think of each one as going from 1 to 10) is more than about 12.5. You'll have a very hard clipping shelf that will give you a static-y, fizzy breakup with no sustain; it sounds like an older Mesa's 'recording out.' Like most other clean channels, Channel 1 sounds best with the gain turned down and the master turned up.
Realistically, the tubes in the rec pre should almost never *need* to be replaced unless you are playing for hours every day, 12AX7s used in a preamp stage are not taking a lot of abuse. If a tube needs to be replaced in the Rec Pre it will probably have been bad from the start and will just die, and you'll know because your preamp won't make no noises no more
I replaced my V1 with a JJ ECC83S to get a little more clean headroom on Channel 1 and have been very happy with that, but most people would want more breakup and should probably stick with the stock tubes.
Like pretty much any real amplifier the Rec Pre takes a little work if you are straying from the settings they suggest in the manual. If you are only getting around to playing once a week or so you're probably better off with a Pod or Amplitube 2 or something that's more plug'n'play.
I have been using mine for about a year now and I'm very, very happy with it-- HOWEVER, I am also using it more as a core of a live rig than as a silent recording device, and when I do use it for silent recording I always use a hardware (ADA MicroCab II) or software (Amplitube 2) cab sim.