OK, going through the help files I found this section “Managing Time Machine Preferences” and it says you can set TM settings through Managed Preferences which includes size limits. The directions are as follows:
1. In Workgroup Manager, click Preferences.
2. Make sure the correct directory is selected and you are authenticated.
To switch directories, click the globe icon. If you are not authenticated, click the lock and enter the name and password of a directory domain administrator.
3. Select one or more computers or computer groups.
4. Click Time Machine.
5. Set the management setting to Always.
So I click my Managed Users group, click Preferences and the only problem is there is no Time Machine button in the Preferences section. Anyone else seeing this?
I should note this server is set up in advanced mode.
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