Finally got the first coating of Pond Foam carved out. It took me well over 3 hours.
(Right side of tank)
Click image for larger version.  Name: 55 gallon build 005.jpg  Views: 7270  Size: 122.7 KB  ID: 19457

Waterfall area carved out. I added more slate pieces on top to hide the drilled pvc pipe that distributes the water over the rocks.
I do plan on hiding the water tube as well. I am also planning on using one more can of black foam to get spots throughout the tank that I missed before.
Click image for larger version.  Name: 55 gallon build 024.jpg  Views: 5272  Size: 109.8 KB  ID: 19460

I almost decided to not use the Lights in Flight because of the whole technical detail oriented aspect surrounding them, but then I couldn't find the receipt ($26), so I decided to use them! Like I said before, "I've gotta go BIG in this build", so I'm glad I decided to stick with the original plan.
Click image for larger version.  Name: 55 gallon build 020.jpg  Views: 4412  Size: 122.8 KB  ID: 19458

Here you can see how I taped up the lights with painters tape. I did this so that the lights didn't become covered in foam or silicone. It helped out tremendously not having to worry about how they were laying in the background.
Click image for larger version.  Name: 55 gallon build 021.jpg  Views: 4579  Size: 111.0 KB  ID: 19459

In another build I saw someone mentioned that they covered up the lights casing in silicone. I thought this was a smart move just to be extra cautious since there will be water/humidity surrounding these lights. I took this a step further (got the idea from the gf) and decided to coat the entire string of lights in silicone and then peat moss. That way if I can't figure out a good way to conceal the light strand into the background then at least the wires will look like vines strewn across the enclosure.
Click image for larger version.  Name: 55 gallon build 026.jpg  Views: 4540  Size: 64.5 KB  ID: 19461
It turned out better than I had hoped and this was only with one layer of silicone and peat moss! This time we didn't use the Toluene to thin the silicone it and it coated it very well. Any spots that were still showing green will be covered with more pond foam.

Silicone: $6
Peat Moss: $3 (Fred Meyers)
1/8" Fiber Insulated Staples 40ct.: $1.50 each (2)
I found these insulated staples at Home Depot. I thought they would be perfect to hold the strands of wires to the background as I set them all in their right places.
Click image for larger version.  Name: 013.jpg  Views: 4411  Size: 96.3 KB  ID: 19456

It was quite a tedious task as the staples kept falling out every time I moved the wires at a different angle, but after more than two hours the whole tank was set up with two strands! I then used dabs of silicone on the staples to give them a little more stability adhering to the foam.
Click image for larger version.  Name: 55 gallon build 030.jpg  Views: 4426  Size: 150.4 KB  ID: 19462

End shot
Click image for larger version.  Name: 55 gallon build 031.jpg  Views: 4563  Size: 117.3 KB  ID: 19463

I also finally got this beautiful stand I ordered online!
Petco online: Shipped for $140.
Click image for larger version.  Name: 007.jpg  Views: 4383  Size: 70.1 KB  ID: 19455

It may be hard to tell in the picture, but here are a couple of lights glowing green and the way the blue tape is covering them it makes them much dimmer than before which in my opinion looks a thousand times better. Much like real fireflys and not super intensely bright LEDs flashing in a tank.
Click image for larger version.  Name: 012.jpg  Views: 4315  Size: 38.3 KB  ID: 19464
My plan is to replace the blue painters tape with green painters tape and leave them covered.

COMMENTS AND QUESTIONS WELCOME!