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On my college team, we had about 120-140 players each year, and we were quite good (D-III, 48-5 in my 4 years there), with a lot of blowout wins.
Still, it was very rare that anyone below the 3rd string would play on a given Saturday.
And the only number restrictions are 50-79 for interior offensive linemen, which gives you a maximum of 30 numbers that have to go to linemen (more than enough), and 68 numbers for everyone else. Of course, you see defensive linemen and linebackers wearing 50-79 numbers all the time, so you could easily do 20 O-linemen and 78 others, or whatever you wanted.
Retired numbers might cause problems. But that's not the NCAA's problem, in the strictest sense.
I wouldn't be against 3-digit numbers either... just saying that limiting to 99 individually-numbered players per game would be one way to get around this problem.
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