TGP,
Yeah, there are a lot of reasons why Mount Union going Division II didn't make sense, that thread explored them all. The ones I can remember is where would a school that small suddenly get the funding to start offering the number of scholarships needed to compete ... if not in football, then in ALL SPORTS they offer.
Also, as a member of the OAC they are an all-sports match with the other 9 schools in that conference ... Mount Union doesn't dominate other sports (that I know of), football is the anomaly, but that is a good conference in baseball, basketball, etc. from year-to-year. So it's rather fitting ... meanwhile, travel-wise, there isn't really a better fit in D2 for them (although Tiffin, Ashland, etc. play D2)
Basically it would cost a small school like that more than it could afford, and what would they gain? Proof that their football team can go 7-3 or win a playoff game?
Also, if they moved, they'd be required to take Kenyon's swimming program with them

In a decent article in the Milwaukee paper, there was this:
After Whitewater beat Mount Union, the New York Yankees of D3 football, Leipold let only the seniors make the celebrity appearances at the capitol and at halftime of UW and Marquette basketball games.
Funny he should mention that, since I usually go out of my way to NOT compare MUC to the Yankees. The Yankees, first off, haven't won since 2000, kinda hard to be a dynasty, and if playoff appearances make dynasties instead of championships, well there's a whole nother argument for the Braves, for St. Norbert/Curry, etc.
Also, I think the Yankees gain an advantage by having more resources than a lot of its opponents. Mount Union is probably average or below average in terms of physical and financial resources, so the comparison isn't really apt ... although they do have the resource of recruiting with their 9-titles, 11-Stagg Bowl body of work.
Anyway, we murder these topics this time of year ... might be time to examine the UW-W dynastic model.
We actually have a feature in the works on the both of them by the Great Ryan Tipps, so hopefully we'll all learn something.