I think the rules can be thrown out the window as well since this does effect college sports at all levels and not just the 3 Ds of the NCAA. I could see more large schools moving up to D1 and the smaller schools dropping out of D1. Not all schools be able to stay at D1 if they have to pay players and all that.

West Texas A&M, Angelo State, Midwestern State, UCO, Colorado Mesa, all the public California schools, Central Washington, and so forth might come up especially in areas that need more schools to fill up close cheap travel costs for all schools at the D1 level. NCAA could eliminate the two lower Ds by allowing the NAIA take over for the small schools while the large D2 and D3 schools move up to D1. You could create 4 levels at D1 then.

P7 which includes MWC and AAC, BYU and UTEP joining MWC with ARMY, UMass. and North Dakota State joining AAC.
G5 could go to G8 with Big Sky, CAA, C-USA, MAC, SBC, MVFC, WAC and A-Sun.

You can have FCS as The rest of full scholarship FCS level with the conferences like Lone Star and them. The fourth would be small amounts of scholarships and none like Pioneer and Ivy league.