So Jim Delany is a nut job. This is an e-fact. Apparently his friends in the other conference are also nut jobs (this is not news). His idea of a playoff system includes the Rose Bowl (Pac12 vs. B1G) as a separate game that could theoretically count as a semifinal game. This is a horrible idea even if it benefits the B1G.
This is one of the "finalists" for the "playoff" that FBS football is moving to.
Jason Kirk runs through scenarios from the past few years. (also contains a link to the proposal) here: http://www.sbnation.com/ncaa-football/2012/4/4/2925390/rose-bowl-college-football-playoffs