what will happen if too much CD-4 is present, such as 10% or 20% more, in the developer?
You can expect an overall higher gamma and a bit of a color shift, although it may be unnoticeable in practice.
you keep on hearing people reuse the developer over and over without ill effects.
People say lots of things. Fact of the matter is that people who heavily reuse their color developer very rarely, if ever, post any meaningful comparisons between roll #1 and roll #...32? What illustrations are offered, usually are inverted and color balanced scans of roll #23 with a comment along the lines of "still going strong".
Let me tell you an anecdote. When I first got into color processing, I was being a cheapskate (still am, really, just more experienced at it) and I reused my single liter of Rollei Digibase C41 chemistry until the lack of density in my negatives was really undeniable. Well, I still got a couple of months of good use out of it. After all, dozens of films and sheets of 4x5 Portra scanned just fine - you know, within the normal bandwidth of the problems of scanning color negative film, and using some expired film as well.
Then I started printing optically and at some point I revisited some of the negatives I had developed...oh, I dunno, maybe halfway through that period I made the Rollei last. So I tried contact printing a particularly nice 4x5" negative that scanned perfectly well - only to find that its gamma in reality was about half of what's needed to make a decent optical print.
So how well did that single liter of developer really last? Did it last the many months & rolls + sheets I initially thought? Or only a fraction of it? Your guess is as good as mine. It depends entirely on what you expect and what you think you'll be doing with your negatives in the future. Especially the latter makes it a tough call, I think. Had I never started printing optically, I might today still have said "sure, go ahead and use your C41 developer for months on end and run 40 rolls through a liter, no problem at all!" And indeed, if someone only scans, and will only scan in the future too, and they're happy with what they get - maybe that really means that for them, personally you can indeed stretch the developer to remarkable lengths.
It seems it shouldn't matter if the CD-4 is gradually consumed in repeated reuse.
In reality, very little of the developer is actually consumed. This is not how the developer 'depletes', primarily. What happens mostly is (1) the pH of the developer shifts and becomes more acidic. This reduces its activity and affects color balance. (2) Halides from the film end up in the developer (this is a normal/expected side-effect of development), which also reduces its activity and again affects the image in numerous ways. If you reuse your developer, the results will shift with every development session. Even if you run 50 rolls through a liter of developer, I bet that the loss of CD4 due to actual development activity is minor - and the effect of this is insignificant in relation to the other two effects I mentioned earlier.
This also implies that you can't extend the developer's life by simply adding some CD4. You have to adjust pH, and you have to remove halides. The latter is chemically not possible/feasible, so the only way is to discard part of the developer and replace it with fresh developer. And this needs to be done before the halide levels reach such a height that the situation has become irreparable, too.
That seems too good to be true.
If it sounds that way, it usually is.