The current policy is that anyone trying to use miles always takes priority over the freebies, both at EUA runs and at the airport. No reason to believe that will change. That being said, the verbiage that says only elites may waitlist for Series 0 rewards remains, so it seems that this will not affect folks at the airport since non-elites can't waitlist. Then again, the fact that there is a mention of refunding the fee if the upgrade doesn't complete suggests that this may be changing.