I actually have no clue what the fix is for this. I ended up opening a paid support ticket with W3 and they got the problem fixed in 3 business days.
It begs the question: are the W3TC policies too complex for a developer (or non-developer WordPress user) to tweak? I can't believe it is, but I certainly didn't have an extensive amount of time to research where to even start, or understand the effects of all the different settings and how they relate to each other.
