With CMS-bound background images, the designer allows you to control positioning and stretching via the element’s background-image properties. However it breaks when you add gradient or color layers.
Here’s a demonstration-
I think this issue is known, and I found a workaround mentioned here, but it doesn’t appear to be in the bugs database so I wanted to make sure it’s included.
Thanks for your AWESOME video – this type of feedback showing isolated behavior is INVALUABLE, and it helps us so much when we’re troubleshooting. Thanks also for checking the forums for previous replies, and you are correct on all accounts.
It is currently known behavior, and I’ve checked to make sure the bug is reported in our database. It is – and our team (and even our founders) have chimed in publicly and privately where we’re working on a solution. Thanks so much for following up!