Mine will move up and down, although its quite stiff. ( <- no comments from the cheap seats, please )
There are a few gaskets in there, but nothing you can damage with mild/moderate pushing/pulling force; you'd have to give it a good kick with a pair of steel-toe workboots before you'd damage anything.
Also a bit of dribble when you remove the cap is nothing to worry about. But, once the dribble turns into well over a cup or so, it may be time to replace a knife valve or two. When my r-pod hit five years old, it was time to replace mine. The Valterra valves are cheap, less than $20 each, and are merely bolted in place; the valve is O-ringed on both sides which ensures an easy seal when you put the sewer connection back together.
One last comment: unless its your last trip of the season and you're putting the trailer in storage, when at the dumpstation, please don't wait 40 minutes for the very last dribble to drip out of your tanks. I've waited in far too many lines behind pedantic <insert very rude word here>s who feel that they must squeeze that last 1/8 gallon out of their tanks while four trailers wait in line.