Layer 3 Circle, and Exits???

Besides making sure that the 6.1 flag is checked in "unknown bits" in the layer section for the map in the level editor, you need to set that circle thingy in the map's Entrance Event.

Hidon's Cave map 194 take a look at the entrance event. It shows it using the address of 174B2 which is CB/74B2. So looking at that in the event dump here you'll see the first thing is:

CB/74B2: 63 Create spotlight effect with radius 20

So if you have this set in your maps entrance event, and have the 6.1 flag checked, it should do it. But sometimes you'll need to also put the command in for any events that re-load the map for like an exit or whatever, before the screen fades in from dark.

As for the exit glitch, that is a known glitch indeed for the level editor, you can't place any exits after 100... The LE's creator guy knows about this, and has fixed it up in his newer Level editor/event editor that is Zone Doctor. But I don't quite trust ZD yet, at least with my hack, so another option that I use is the 1st and often overlooked level editor made by Sleepydude. That one is less user friendly and slightly confusing to navigate, but it does not have the exit bug.