It's a nice idea but there are two problems with this model:
1. Districts are geographically tied. It will be much harder to group teams locally.
2. Teams can drastically change strength year to year, depending upon graduation and transfers. A four year average smooths this out but last years playoff team could be this year's 1-9 team (I can show you examples from this season).
Final score is not even a true statement how this game really went dillard was up 28-0 then 41-7 with 2 minutes to go in the game both desperation touchdowns was with our backups in