As fortunes, or mis-fortunes would have it, I had to do the rear brakes on my '03 today. Noticed a scraping noise the night before last which sounded like a brake pad backing grinding against a rotor. When I inspected the left rear, I found the inner pad down to metal against metal. I called Toyota, and they gave me an estimate of $600-1,000 depending on the condition of the calipers. I checked and found the rotors at Advance (this is an interesting side story) for $44.00 each and pads for $30.00. I liked the sound of $120 instead of the Toyota estimate, so I ordered the parts, and just finished the install. Brakes work like new, no pulse or noise.
As for the E-brake issue, I discovered that the parking brakes are adjusted through a set of holes in the disc/hub assy. from the front, not the back. After you pull the wheel, you will find two opposing sets of access holes, about 1/2" in diameter. The manual indicated that there is supposed to be a rubber hole plug to be removed, but I didn't find one on either side. You have to align one set at the six-o'clock position to be able to get to the star wheel adjuster. The adjuster is in about 1 1/2"s, so you will need a narrow screwdriver to reach it (a standard brake spoon will not work). You have to rotate the star wheel down to back off on the adjustment. Once that is done, the rear disc can be removed. After cleaning and lubricating the parking brake assy where needed, I installed the new rotors. You have to use the lug nuts with some spacers to tighten down the rotor against the hub when making the parking brake adjustment. You have to turn the star wheel adjuster up to expand the brake shoes until you can't turn the disc any more, then back off the adjuster until it turns freely. The book suggests 8 notches, but I found that about 6 seemed to work well. After all was back together, the parking brake applied at about 1/2 way down for the foot pedal. It will hold when the trans is put in gear, but will not hold when throttle is applied. Considering the size of the parking brake shoes, I'm not surprised they are only marginal in effectiveness .
As I said in my earlier message, there are no self adjusting components in the parking brake assy, so the only way to adjust the parking brakes is manually.