I guess I still don't see where the national demand is to expand. I don't think any of the HS qualifiers outside of California and Houston had more than 36 teams. In the Houston qualifier, the 4th, 5th 6th and 7th place teams went to the National, the top 3 chose to go elsewhere be it ASA or TCS-NY. If I recall there were others where the berths trickled down to teams that didn't qualify originally. It wasn't because they didn't think they could compete. Simple math tells you that half the teams are going to play 3 bracket games or less, and roughly 16 teams will play more than 4, most teams don't compete for the national championship.
It is simple and it is stated all over the boards by other posters, this is about California teams not wanting to travel to other parts of the country. 30 of the 67 teams at last years 18HS event were from California. If that is the elite of the elite then great, but most teams don't need to go to travel to California to play against 2nd tier competition they can do that at home or closer to home.
As far as recruiting goes, please explain the benefit of adding more teams for coaches to go watch. You already have at least 2000 kids spread out between16 and 18, now you want to double the number of teams at 18? that is an additional 1000 or more kids that are wanting to be seen. One of the recruiting benefits of PGF was the college coaches could see how their recruit would do against the best, you lose that benefit by adding a second division. Those coaches can see that at Colorado or any number of other events throughout the fall and spring.