Here's some more info on how the rep system works:

What reputation level shall new users receive upon registration? Make sure that you have a reputation level that is at least equal to or less than this value.
12

Administrator's Reputation Power
How many reputation points does an administrator give or take away with each click?
10

Register Date Factor
For every X number of days, users gain 1 point of reputation-altering power.
365

Post Count Factor
For every X number of posts, users gain 1 point of reputation-altering power.
1000

Reputation Point Factor
For every X points of reputation, users gain 1 point of reputation-altering power.
100

Minimum Post Count
How many posts must a user have before his reputation hits count on others?
50

Minimum Reputation Count
How much reputation must a user have before his reputation hits count on others?
10

Daily Reputation Clicks Limit
How many reputation clicks can a user give over each 24 hour period? Administrators are exempt from this limit.
10

Reputation User Spread
How many different users must you give reputation to before you can hit the same person again? Administrators are exempt from this limit.
10

You need to change the reputation user spread to about 5.

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