That seems hard to believe... from the angle it looks the the tack is over a foot above the deck!No it is just the distance the shackle extends from the deck to the tack on the jib. On that picture over my daughters shoulder you can see the sail hitting the bow top railing. Maybe this ok, I just never noticed it much on other boats before, then again this is mine so now I pay attention to a lot more then I ever did before.
Anyway. If the sail is a jib (meaning that the tack does not come any further back than the shrouds) you should look to sheet the sail INSIDE the shrouds, and not around then. In any case, sheeting a jib on a boat designed for genoas is usually an trick, in your case in particular because you have no tracks. For a jib your sheeting point should be MUCH farther forward.