BOZ
Creature Cataloguer
They probably don’t even need ranks in Hide – with just the size and Dex bonuses, they already have a +22 modifier. 
Ahh… I don’t have Complete Warrior yet! What else does Swarmfighting give characters?
I do still support the BAB increase though, and if we’re not increasing Str then there should be some sort of damage bonus (maybe just enough to negate the Str penalty).

For Faerie Formation, I wouldn't increase Strength. Most swarms have a Strength of 1. Instead, I'd give them a morale bonus of +5 on attack rolls (borrowed from the Swarmfighting feat in Complete Warrior) and a +5 competence bonus to AC. Maybe also state that they cannot be flanked (since they've "got each others' backs")?
Ahh… I don’t have Complete Warrior yet! What else does Swarmfighting give characters?
I do still support the BAB increase though, and if we’re not increasing Str then there should be some sort of damage bonus (maybe just enough to negate the Str penalty).