JJJ,
I find the older I get the more hopeless I am at following written directions and I really need to have a visual to figure things out so in that vein I hope this helps...
Here is a photo left to right of the steering arm, the upper bushing and the tilt tube assembly
The bushing usually would go up right against the bottom of the tiller arm, right in the rust zone...
You can see that the steering arm is made of steel an will rust. The part that is usually inside the tilt tube would normally be encased in grease so it will not rust but if the greasing is not kept up with then the upper bearing will go dry and salt water will do its work. Notice the upper part of this arm is on its way, and this is even after some wire brushing. Once the upper part of the shaft rusts it will bind in the nylon bushing. You can work it back and forth and this will eventually ream the bushing but to prevent future seizing you need to work some waterproof grease up from the grease fitting on the tilt tube.
This is best accomplished with some heat and a good grease gun. Unfortunately the grease fitting is located low on the tilt tube...
So if your tube is mucked up the grease will tend to go out the bottom.
Best solution is to apply heat above the grease fitting to soften the crap that's in there then pump some new waterproof grease in until you see some oozing under the steering arm. You can get the middle pretty hot if you need to, just keep in mind that there are two similar bushing at each end of the pivot.
Just remember unless you can get some grease up to those bushings then it will rust up again and the binding will be back.
Steve P.