Yep. The cap needs to be tweaked for sure. It should be based on picking up extra flying, not any other metric. Also, the audit thing is annoying. When you are on the bubble, waiting three weeks for an audit can make a huge difference.
All that being said, up until about a month ago, I have never had a problem both out of base and over the cap. We are, right now, temporarily way overmanned by swa standards due to continued hiring during a purposeful slowdown in available flying. I have never seen more than 10 pilots on the reserve list. Last weekend some bases had over 30, all unused.