If you read the first post, I stated the risk reward shouldn't change, and neither would the carryover if you have to take a walkon. The recruiting effort would also carry over if he doesn't show up.
The only thing I think would be better is changing the signing process. It's pointless to sign a letter and then change their mind...AFTER recruiting has finished. They should notify you BEFORE recruiting finishes. Thus IF you have another player considering you you can sign him, OR if you have money you can find someone else. If you have no money and no other players considering you, you take the walk on.
Gopokes, I agree that very kids would really go to a juco across the country, but really very few d2/d3 schools really go hunting for recruits 2000 miles away as well. Although that aspect of inels can be frustrating, I don't have a problem with it. You may lose a couple, but you also can get some monsters regenerated right next door to you.