This is EB1. In EB2 there is a different system of capping units (low replenishment rate), so with this and a little AI scripting (especially the diplomacy AI) and the problem may not be as serious as in EB1.
When it comes to geography of various factions, I think there won't be many changes in Italy (unless a new faction in this region will be present). However, population growth values and unit replenishment rate should be adjusted instead, especially that it can be balanced in different ways - we can, for example, decrease population growth globally (because Huge Cities are the plague of the later games), but Roman faction would not be as severely affected.
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