<font color="blue"> can you reach it by taking the wheels off and pound it out with an air hammer?</font>
Mike, I am going to try that when it stops raining. One of the problems I had prying the fender away from the tire (just to get the trailer home) was the only thing I had for leverage was the tire. The aluminum was too thick to muscle it away from the tire, so I stuck a pry bar between the fender and tire. Most of the force I could exert went to compressing the tire, instead of moving the fender. I think once I get the wheel off, a hand sledge might do the trick. The results wont be pretty, but she'll be able to use the trailer until a permanent fix can be arranged.
BTW, how do you attach a cut off wheel to a die grinder?