This mod now has its own forum. Please follow this link to get there - http://forums.civfanatics.com/forumdisplay.php?f=476
* Wont settle on on-tile islands - Even on larger islands they will sometimes drop off settler groups only to leave them sitting there doing nothing for the rest of the game. As near as I can tell, what often happens is that the settler group gets dropped off at the wrong island, and then spends the rest of the game trying to get across without the help of a boat. This appears to be an FfH specific problem.
This is because FfH has a check, in the SDK, to stop AI units from moving if they can't move in any direction. This is to prevent a WoC issue. Don't think it would be an issue to exempt one tile islands from this rule (I did it before without noticing a problem) but it requires SDK modding
As the settler is surrounded by water it can't move in any direction, therefor the AI is not allowed to use it in any way (including settling).
As someone who started a navy brainstorming thread about a month ago, I definitely agree with what you did with Cargo Space and streamlining the Upgrade Paths, should help make things easier for the AI.
Tholal, if you don't mind I'd like to look at what you've done and see what we can merge to RifE.