Hi Jim,
Certainly sounds like you may need a new cap (may be cheaper from your local Ducati motorcycle shop).
On the subject of Rotax naming/terminology;
The so called "expansion tank" over the top of the crankcase is not an expansion tank. The expansion tank is the overflow bottle usually mounted on the firewall.
How the system works;
In my youth radiators were only filled to just above the fins. This left a large air space above the coolant surface, to accommodate the expansion of the coolant, as it was warmed by the engine. If the air space was too small (to much heat or coolant) the coolant would be vented by the cap (steam!). When the system cooled, a significant internal vacuum would be created. This often caused radiator hoses to collapse, hence the use of internal spring or wire reinforced hoses.
Rotax cooling systems are as for modern vehicles - that is a zero coolant loss system, using an external expansion tank (overflow bottle) to accommodate excess hot fluid.
The function of the radiator style cap is three fold;
*Increase the boiling point of the coolant in the system by initially preventing hot coolant from escaping. As the coolant warms, pressure increases, this raises the boiling point of the fluid. The cap contains a calibrated spring/valve which will allow fluid to escape when reaching a predetermined pressure.
*Prevent excessive pressure built up in the cooling system, by releasing hot coolant into the overflow bottle (expansion tank).
* When the coolant temperature drops (cruise/descent/ taxi/shutdown), a partial vacuum is created within the system. The cap valving then allows coolant to return, from the overflow bottle, into the cooling system. Rotax coolant hoses should not collapse.
A correctly functioning system should not have air within ie when you open the radiator cap (cold engine), the coolant level should be at the inner lip of the fill point. Air in the system can only be caused by a leak or incomplete filling when coolant changed.
The modern cooling system is both lighter and smaller than the old (good for aircraft ).
The overflow bottle cap should have a small hole, to allow it to be at atmospheric pressure, air to escape/return, as fluid level rises & falls and if excess fluid enters, for the fluid to be vented.
The overflow bottle should have a cold coolant level of approximately 1/4- 1/2 bottle volume. This will increase with a hot engine so always leave a generous space above the coolant level. Should the bottles coolant level drop (using coolant) to the bottom, exposing the return line , air will be drawn into the cooling system reducing its efficiency.
In my experience, the Rotax cooling system should not need topping up between services and even then the amount (into the overflow bottle) should be very small.