As far as recruitment/retention decisions I would be inclined to tell you to listen to your brothers and hear what they have to say about things. I'm sure you'll find them on both sides of the fence.
I don't think that guys looking at other houses are very conscious of image -- they're more concerned with where they're comfortable.... In most fraternities your opportunities will be very similar.
Your rush czar method sounds interesting. Back when I was a colonist it was basically the same voting system as we have in chapter. One vote to the negative and they wouldn't get in. It worked out and we're a chapter now