Doesn’t this dilute the talent level and competition in all the lower brackets. Small towns with only one team probably will not be able to go in the A bracket anymore and will not have completion in lower bracket. This format sucks for them.[/quote]

Not sure I understand your take on this. Are you saying small towns will not be allowed to compete in the A division, or not strong enough to compete in the A division?

My understanding is that any town, regardless of size, is allowed to enter a team in an A division. This format allows for ability appropriate match-ups.