I'm going to go in a different direction than pledosophy.
Tank has been set up since......July???
I think that this is the primary issue for you. Thats 3 months and is barely enough time for even an unstocked or lightly stocked tank to cycle.
Add to this a heavy bioload and you get high nitrates (and probably phosphates). You need to give bacterial and algae populations time to catch up to the bioload. You are probably looking at another 4-6 months for things to mature properly. FWIW, in my tank, it took a good 8 months before the macro algae in my tank really took off. In theory, macros like caulerpa should start to grow right away. My experience was different.
You say you do frequent water changes, but you don't mention how often or how much. I am guessing its probably weekly?? The amount is important. For instance, two gallons a week will do little to remove nitrates.
With your nitrates being so high I would do one or two 50% changes to get the nitrates down below 10-15. From there continue to do 10-20% water changes to keep your nitrates down until the macros and bacteria kick in. If this dosn't work and you continue to see your nitrates rise, there is something else going on.
I am not a fan of mechanical filtration (I'm not good on regular maintenance), but it you add more, make sure to keep cleaning it frequently the way you do your current sponge filter.
I,m going to disagree with Pledo on 7/24 lighting for macro algae. All it does is slow down algae growth. Algae need a dark cycle. It won't work in your situation anyway because the algae is in the main display.
You mention that you have two sand sifting stars. Does this mean you have a sandbed as well?
OK, on to the cleanup crew. What you want, more than anything, for cleanup crew is critters that feed on detritus or micro algae.
Sand sifting stars are actually carnavours that feed on the little critters in your sandbed rather than detritovours. Hermit crabs are omnivours and will eat detritus and algae, but really prefer meaty stuff. Most starfish feed on the invertibrate life living on the coral substrait and will not live long in our tanks because of a lack of food.
If you want to keep a starfish, go with a brittle/serpent star, They are mostly detritovours and may clean up uneaten food. The only brittle star to avoid is the large olive green one (don't remember the latin name). They are a known fish eater. The common grey ones seem to be the best detritovours.
That seahare is a voraciuos eater of algae and will single handedly keep your entire tank clean. The ones we see in the hobby do tend to get very big over time though (think football size).
Back to the sand sifting stars. The best processors of detritus in our tanks, and animals critical to the proper function of our tanks are, yup, those little critters your sand sifting stars are eating.
Sandbeds work because a LOT of tiny bacteria grow on evey available sand surface and can process a lot of nutrients. Now, those nutrients need to get down into the sand somehow, and they need to be sufficiently small particles/molecules for the bacteria to efficiently break them down.
This is where those small critters come in. They take relatively big chunks of organic material sitting on the surface of the sand, consume it, partially breaking it down, and deposit the resulting poop in the sandbed. Other critters consume that poop, further breaking it down and depositing it lower in the sandbed. These critters perform two fucntions for the sandbed: they bring nutrients deep into the bed where they can be consumed by bacteria, they break organics down to a small enough size for bacteria to efficiently consume them.
So, IF you have a sandbed chances are it is not very effective because: 1) there are no critters to work nutrients into the sanbed, 2) it has not had enough time for the right bacterial communities to establish themselves.
By the way, if you want something to clean the upper layer of sand, you can use a sand sifting cuke. These guys feed on the bacterial films on the sand grains rather than on the critters in the sandbed.
If you don't have a sandbed I hope it was at least interesting reading
To sumarize:
1. you need time for your tank to properly cycle and mature
2. keep doing water changes to bring the nitrates down
3. upgrade your cleanup crew a little to get better detrirovours in there.
4. have patience, it will take time.
Between pledo and myself, I hope we havn't overloaded you with info. Keep asking questions if you have them.
Fred.