the issue is caused by the way you hand edited the menu
you have created a new <ul> around each top level menu item:
<ul class="level-0" id="services">
<li class="parent"><a href="#">Services</a>
this is not necessary.
there is already a parent level 0 UL at the beginning f the menu. Each top level menu item is a part of that UL, you do not need to create a new UL.
you should use the menu writer wizard to create the menu structure for you rather than trying to hand code it.