RIGHT! So here's my magical FFA Cup plan!
Each state league plays off amongst themselves in unseeded, knock-out tournaments.

The following amount of places shall be given to each state league:

NSWPL - 6
VPL - 6

QSL - 2
WAPL - 2
SAPL - 2
NNSWPL - 2
TAS (combined) - 2

ACTPL - 1
NT (combined) - 1

This makes a 24-team pool, representative (in my opinion) of the strength of each respective league.

These 24 teams then play against each other, again in unseeded one-leg knockout matches, with the games to be played at the smaller of the two stadia, regardless of the teams' relative strengths or histories.

Over two rounds, this 24-team pool is reduced to 6 teams.

At this point, the 10 Australian A-League teams enter the competition, raising the number of teams to 16, and producing an even number of teams going towards the final. From this, there are four further matches in order to win the FFA Cup.

From this formula, there are two major issue raised: one, being the length of the tournament for clubs in the state leagues outside the NSWPL and VPL; and two, the timing of each round, as well as the semi finals and final.

In developing this tournament model, I was fully aware of the disparity between the Cup runs of teams from ACT and the NT compared to the NSWPL and VPL. As the two major state leagues in Australia, NSW and Victoria are clearly the second tier of football. They have produced the majority of NSL winners, and are home to the largest and wealthiest clubs. Because of this, they deserve to be rewarded with more preliminary places in the FFA Cup, from which teams in these competitions can further engage with the FFA and modern mainstream football community.

In regards to the amount of games played by each team to reach the final, it will obviously be harder for smaller clubs in outer leagues to make the final rounds of the competition: teams such as those in Canberra or Darwin would be playing in 11 games if they were to reach the final. My reasoning for this nuance is that for a club to pay for travel all over the country seven times for upwards of 20 people would be a huge toll on the club and the FFA's finances. If only one club from Canberra and the NT have to venture on this odyssey, it limits the spending of less well-off clubs such as those mentioned.

Similarly, as FNSW is well-known for it's financial standing, funding ventures of this magnitude for the six teams that qualify to the second preliminary section would not be an issue. As well as drawing funding from their governing body, the six clubs would be somewhat self-sufficient and could pay the majority of their own transport and accomodation costs.

Relating to the second point of contention - the timing of the tournament - I foresee the sectional knockout rounds being played from April to August, and the second preliminary fixtures being played from August into October. This would allow a flow-on effect, with interest piquing as the A-League season commences.

The next four rounds would be played as such:
Round of 16 - 2nd week of November
Round of 8 - last weekend of November
Semi final - first weekend of January
Final - weekend BEFORE Australia Day

Playing the final on Australia Day so early would be foolish, as Australians are wrapped up in their pseudo-love of cricket on our National Day. In time, moving the fixture to Australia Day would be feasible, but would only be advised after several successful seasons of this competition.