Since I'm the original author of the sky dome function, allow me to elaborate the previous answer:
The four values 16, 16, 1.0f and 1.0f means
1) The entire sky dome (which is a sphere made of of rectangles) is made from 16 rows of rectangles from top to bottom. The rows 8 and 9 are closest to the equator of the sphere, and thus contains the largest of the rectangles consistuting the sphere.
2) Each row consists of 16 rectangles.
Imagine a disco ball (you know, the ones covered with flat rectangular mirrors) seen from inside. Same thing
Here's an example of a sphere consisting of 12 rows with each 20 rectangles. The top is missing here, but in skydome the top it is actually made of of triangles to avoid a hole at the very top of the sky ...
(Actually, the two arguments are reverse compared to my explanation here, but I found it a bit easier this way).
If you want a more smooth sphere increase these numbers. However, you will most likely be satisfied with these.
3) This number (here 1.0f) is how much of the sphere is covered with the texture. This number ranges from 0 to 2. When you choose 1.0, exactly the upper half of the sphere is covered. If you choose, say, 1.2 the texture will go a little below the equator of the sphere. If you choose 2 the texture will cover the entire sphere from top to bottom. Ideally, this should be 1, but sometimes you'd like the horizon to be shown even when you are elevated over the ground plane, and then it is useful to set this number slightly higher. Experiment, and you'll see the difference.
4) This number (here also 1.0f) is how large percentage of the texture is actually used. Sometimes sky textures include some text or other graphics at the bottom, and this number here allows you to skip this without changing the graphics file. Setting this number to, say, 0.9 make the skydome use the upper 90% of the texture, thus skipping the lowermost 10%. Note that this number is independent of the third argument, so you can change this without changing how much of the sphere is covered with texture.
I hope this helps understand the four arguments.