That light isn't the greatest but it'll do fine for seedlings/early stage veg. Distance? Prob about 20" or so for babies. If they are getting lanky lower the light. If you notice them drooping raise it a bit. You'll find the ideal distance when they are reaching up for the light but not stretching too much. I like to keep mine in high humidity for a couple days until they establish some roots then I'll remove the cover (keep in mind you should air it out at least once or twice a day) I do this because generally I'm running pretty low rh. If you're rh% is over 50% you should be fine without the cover. Dont overthink it. Early stage plants don't require much, so let them do their thing until they start to bulk up a bit unless youre in coco then that's a diff story.
