I think they should run an 8-10 team national comp. If anyone is interested in fielding a team they can pay a license fee (say $250K). If there are multiple teams in one area then there can be other criteria to cull them down.
The ARU could set up a competition management team who can source sponsorship and telecast rights deals to further fund the tournament.
This would open the comp up to current clubs, private enterprise and even Super teams to field feeder teams. Teams can find adequate grounds to play out of.
I can think of 3 club teams that would likely get involved straight away. Also it takes the responsibility away from the ARU for neglecting areas as it's up to the regions to raise the money and apply for the license.
This would not be a professional league. Players would be covered for expenses incurred and have a flat fee for work days missed. It's about exposure and opportunity for them.
It sounds simple but sometimes simple works.
Canberra Vikings
Southern Inland
Sydney Uni - Prob called something else - Syndey Students maybe
QLD combined side - QLD South Maybe
I think all up they should have -
1 x ACT
2 x NSW (one being a branch off of syd uni)
2 x QLD
1 x Melb
Maybe a Perth side but this would bite into funds and I dont know if a 3rd tier team would really take off.
Run the current club competitions concurrent to the Super Rugby competition with the finals occurring on the same weekends.. Shute Shield and Premier Rugby wont change except for the absence of the Super Rugby players.
Then host the third tier following Super Rugby similar to how the ITM Cup is currently run. Put the licensing of the teams out to tender, quite simply if the teams don't have the money or the facilities then they wont be given a license.
Then to create equality across competition, run it similar to the NZ Super Rugby contracting system, teams are able to select their starting 15 and all the rest are free agents to be picked up by other teams.
Is this a perfect competition, absolutely not, it will alienate some fans of clubs not chose in the initial season. However in time market forces will dictate that those teams selected will take measures to reach out to those other clubs, mergers, clubs renaming, moving home grounds etc to reach out to a larger demographic and wider sponsorship base.
Will this kill of other clubs, well take a look around at the standard of some of the clubs in the Shute Shield and Premier Rugby currently, you can't kill whats already dead.
Was there talk at one stage after the ending of the ARC of a Perth team locating to Qld for the duration of a national comp? I can't remember. But anyone know if that's a possibility to save costs?