@Email Shmemail,
Your resin seems to have recovered and if the water holds soft (zero hardness) to the next regeneration then that is resolved.
That plastic thing looks like a ferrule, not a restrictor cap. It's job is to keep the tubing from collapsing when the connection is tightened. It is correct that it is in there.
As far as the water, I can tell you that if the control valve is set to 8 lbs then there should be a touch over 2.5 gallons of water in the brine tank. Each gallon of water = 3 lbs of salt.
There looks to be more than 2.5 gallons in the brine tank. Do you agree? If so, then back to what I already told you... either there is an air leak in the brine line or it's connections or the brine pickup OR the control valve has a problem as outlined in the troubleshooting guide in the manual.
You now have to make a choice... continue on your own and buy some parts and try to fix it.
OR get a local water treatment pro in there who is familiar with Autotrol control valves.
OR buy a new DIR control valve like a Fleck 5600 ($300 mechanical or $350 electronic)
OR buy a new softener.