Best solution IMO: scrap both rep and voting and give mods more power to remove useless and factually incorrect posts (which are the main reason people (should) vote posts down anyway) and posts in violation of the TOS (which apparently can't be removed now for some reason).
Disagreed. The mods here are pretty good, but I disagree with removing factually incorrect posts. Deleting it can actually lead to the person who posted it never knowing the correct information, or other people who have the same misconceptions never clearing those up. But I do agree on your other point about removing completely useless posts. And I also think reputation is useful. I don't have the problem of crushing people's reps, but I can see how Ancient Dragon and others do, so I think the option you guys discussed is a good idea (as long as the default option is to give full rep points, and I don't have to change it every time).
And as far as the up/down voting system goes, I was complaining about it quite a bit before in this forum, but I gave in and started ignoring it. I also agree with others who have said that the negative aspects outweigh the benefits.