I don't have a problem with 1 loss teams winning it all, and I think you can make the case that some one loss teams are better than some undefeated teams, but I agree with the sentiment of @HalloweenRun . Most years before the playoff you weren't choosing between 16 teams or even 8 teams. I seem to remember a year when you had 3 major conference undefeateds, and I'm a pretty big proponent of including mid majors, but I still think unless you are undefeated you are by definition leaving it up to interpretation. Not a huge fan of the playoff committee, at least not without being balanced by something like computer rankings. I've been a proponent of 6 teams or a flexible format, but I'm pretty solid on an 8 team playoff right now. I think even the top seeded team would welcome the money from another home game and big time tv.
The whole process is subjective and always has been/ will be. For as much as people criticize Skynet polls, it is the only objective measure.
That's why I like computer polls, conference champs, 1 team per conference, and mid majors. But if Bama is always top 2 in the SEC, then you can make a good case every year. As far as Notre Dame, I could see the outcry for them to join a conference grow louder every year. I simply ask what teams would nut up and leave their security blanket (conference affiliation) for the benefits of independent status? But yeah, if it means ND and Bama yearly until they slip up, so be it.
You're comparing apples to oranges here. Is it possible? Yes. It would require a HUGE adjustment in how schedules are done, when practices start, and a host of other issues. As example, the first round of the D2 playoffs was in the third week of November. IF that model was adopted you're looking at schools dropping two regular season games at the minimum and conference championship games as well. With the current format, going to eight would likely push the final game into late Jan or early Feb which breaches into the spring semester: something conferences and the NCAA want to avoid. You're not going to find schools and conferences willing to lose that home game, sometimes two, or them entertaining losing CCG money ... especially those schools who aren't in the black as it is.