There are some mmebers at my board who report EVERYTHING. How about an option to choose weather or not a group can use the feature (as long as it's enabled in settings)? That way the ones who overdose on the bs can be in their own group and can't report anymore.

Why don't you just threaten them with a banning or two? They'll shut up pretty quickly.
Also, wouldn't that defeat the purpose of the system?

I Agree with this.

On My forum i have a Group call "Restricted Members" which cannot do anything other than view the Board and Reply to Posts. These are Members which Cause Trouble, but arnt Quite in Need of Banning. They do try to PM me to complain by Useing the Report Option.