I replaced mine yesterday.  I am currently do an ICW trip from North to South.  I had to have the boat hauled to fix a broken keel cable and in checking the cutlass bearing it needed replacing (basically if there is play in replace it).  Take the propeller off and the bearing is driven out towards the back.  If you freeze the new one about an hour before installing it will slide in much easier.

Dan Underwood
1977 Dawson 26, Hull #264
"DOVE"
Buzzards Bay, MA

Replacing the keel cable is fairly straighforward.  The trick is to find someone who can make up a new cable.  Since I was out in the boonies when I fixed mine I was not able to find a stainless steel cable and had to use aluminum wire instead.  This will only be a short term fix.  I will fix it properly later when I can get to a rigging shop.
Anyway the cable is about 4 1/2 to 5 feet long with a swag fitting at the end for the wench and a loop with a swag at the keel end.  My keel has a stainless steel pin with a stainless steel pulley on the pin.  I removed the pin, pulled out the pulley, put the loop around it and replaced the pulley and pin.  Then feed the other end up and pull it from the inside and attach it to the wench.  This is easiest if you can get the boat high enough to lower the keel all the way down.  I did it while it was on the lift.
Another thing to look for, is make sure the pulley is able to turn freely.  My cable broke from wear on the pulley as it was not turning before replacing the cable.
Hope this helps.

Dan Underwood
1977 Dawson 26, Hull #264
"DOVE"
Buzzards Bay, MA

Dan, how much was your cutlass bearing:  I was given a quote of 40 bucks for the bearing.  This sounds rather steep for a simple press in place bushing.  Did they press in the bushing for you or did you do it.  I think this bushing could be simply installed with a c-clamp as a press.  Any suggestions on purchasing a $40 dollar bushing at a more reasonable cost?    LL