koolair, this is a late response so hopefully you're still around. Cooling coil bypass factor has been around since HVAC school days, but we (me included) might have glazed over a bit during that session. Bypassing the coil while maintaining average discharge temperature helps to dehumidify and in a nutshell is this:
If you have a modern coil with a low amount of bypass (say 10% bypass and 90% of the air contacts the coil), you're dehumidification is not optimized. There is a dehumidification 'sweet spot' at a point where some percentage (maybe 60-70%) of the air contacts the coil and the remainder bypasses the coil that optimizes dehumidification. It is the point at which you can bypass the most possible air while still maintaining the discharge air temperature set point. It defies common sense, and you have to go through a pyschrometric mixing exercise of a given inlet air at some enthalpy, x amount contacting the coil and y amount bypassing the coil, while maintaining a steady discharge temperature. At the point where your discharge temperature starts to rise because you've reached the cold limit off the coil, you've maximized dehumidification.
Dehumidification may be a reason why this control is in place, or it may be to improve cooling staging of a DX system.