I checked it again, and everything is working fine just like I thought, except for one little setting. Hover and Stable-Hover can be engaged at up to 40 m/s = 77.8 knots. I mis-read the statement in the code. Ooops. I tested it and I was able to engage Stable-Hover at 75 knots.
You can also go directly from one mode to another, i.e. you can swap modes without turning the first one off. You can go into Stable-Hover, then switch to Altitude Hold, then switch to Hover (it drifts down towards the ground since it doesn't work with a Joystick) then you can press "H" again and turn Hover off.
Just for clarity, Hover-Hold and Stable-Hover-Hold take away the Collective. If the Collective still works, you're NOT using the correct Hover mode.
In Altitude-Hold, you lose the Collective and you lose Pitch Trim. The adjustments to the Pitch of the helo are done in the new code using the Trim setting so that you the Pilot can still over-ride anything the automated controls do with Pitch.