I'm guessing the styling of your DIV in which the Photo Album is contained in is somehow causing the large gap. What happens if you move the code to outside of any container other than the BODY tag:
Code:
<script type="text/javascript">
new phpimagealbum({
albumvar: myvacation, //ID of photo album to display (based on getpics.php?id=xxx)
dimensions: [5,5],
sortby: ["file", "asc"], //["file" or "date", "asc" or "desc"]
autodesc: "", //Auto add a description beneath each picture? (use keyword %i for image position, %d for image date)
showsourceorder: false, //Show source order of each picture? (helpful during set up stage)
onphotoclick:function(thumbref, thumbindex, thumbfilename){
thumbnailviewer.loadimage(thumbref.src, "fit2screen")
}
})
</script>
?
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