I have the LCI 3.0 on my 5th wheel, and when I first started using the system I would also have wheels lifting off the ground. Here's what I have learned over the past 6 months of using the system which has solved the issue for me. Unsure if these will remain true for a TT.
The front jacks need to be about 5-7" off the ground prior to lowering, to ensure they have enough room to extend/retract during the leveling process. Otherwise I found the system will compensate with the rear jacks, which leads to lifting of the tires.
Second, I have to use the "Drop front jacks" feature of the system vs manually lowering them. I read somewhere (may have been in this forum) that the system needs this as an element of knowing the position of the jacks? Don't know if this is true or not, but what I can tell you is that ever since I started using the system to lower the jacks vs. dropping them manually, the auto level worked without raising the wheels off the ground.
So again, not sure if a TT will work in a similar fashion. I don't know if it has an auto-lower function for the tongue jack or not. If it does, I would deff try using it. The advice given here on lowering the tongue jack before using auto-level sounds like solid advice, as I would imagine this would yield the same result as me leaving 5-7" of play in the 5'er front jacks.
Re: if it is ok to have the wheels off the ground specific to electric jacks; as far as I've been able to see in my research, they are built to handle the weight just fine but Lippert says they shouldn't leave the ground. And many online state that they say this now only for liability reasons. And although my Lippert manual says to keep them on the ground, I at one time was able to find a keystone video "commercial" of the system, where the entire right side of the TT was high, wheels up in the air. Hmmm....
So in the end, this can become another RV scenario (i.e. travelling with propane on or not
) where you're left to making your own decision, and doing what you feel most comfortable with. I've read that some still do an initial "old-school" leveling with blocks prior to using the system, which many feel completely negates the purpose of having the system to begin with.
Good luck! Will be curious to learn if either of these options work for your friends, and hope it results with wheels firmly on the ground