Okay, every once in awhile a team from a mid-major (C-USA, Mountain West, WAC) conference does really well. What if a BYU, Fresno State, Louisville, East Carolina, Southern Miss, TCU, ect goes 11-0. Will they be hurt by this format?
I would like to think that all Divison 1 teams would have the change to win the national championship.
Nope. Had BYU gone undefeated, they would have qualified for a BCS at-large berth(7th, IIRC), but that doesn't mean they would have been chosen under the current format. Under mine they would, and by adding 2 more teams for an at-large qualifier game, a Louisville has a much better shot. But they have to go undefeated, or their conference has to greatly improve. Still, with a brutal non-conference, and with a loss to say a top 5 team, they still might make one of the 4 proposed at-large qualifier berths.
Forgot to mention in the original post one concession from the NCAA that might hasten BCS bowl approval: Guarantee sell-out revenue to the BCS bowls. Of course certain provisions would have to be spelled out, the NCAA wouldn't want to make the guarantee and have the bowls triple their ticket prices, but a solution is workable. Now you've taken away a potential threat from post-bowl playoff games.