It's not selfish, as he isn't even a Calamari I don't believe.
Regardless, here are my thoughts on the issue:
I like the idea of the handicap system.
If you play someone in a division above you, you should be able to nominate one player that they can't use.
If you play someone two divisions above you, you should be able to nominate two players that they can't use.
This is a slight adjustment from Fishy's suggestion of two and four respectively, which I feel is too many players to nominate.
Regarding the MVPs. I think that we should have MVP writeups next season, however, they should only be for a limited number of games. These limited number of games will be the six games chosen for the tipping games.
In other words, the six matches that are selected each week for the tipping competition will be the only matches that will have MVP writeups. Now I realise some people may complain that this means that it advantages the teams that get picked for the six games each week, but that's just part of what makes it more interesting. Each week we have different teams being picked, so over the entire season it should balance out. I also suggest choosing the matches that will have the closest games for the tipping competition so that every game will be more interesting.
Regarding the reshuffling of federations, I don't mind doing this if people seem to want to try and get to meet new people. But if it is the case, then I agree that all the federations need to be completely reshuffled. Or perhaps each federation can keep three teams, and the rest get shuffled.