Blimey, Bonnie, are you having problems sleeping?! Seriously good work though, must have taken you ages!
Its funny how SCD scoring stirs up passions, we got a similar thing on the BBC forums last year (though, with the dance-off, things were more complicated, I think). Personally, I love it!
I think there'll always be controversy in a show like SCD. If there was only judges' scores, and no public vote, the show would be too "dry", and would lose some of its appeal (and there'd be no phone-vote money of course). If there was only a public vote, the show would be too much of a popularity contest. And with a combined system, you get controversy over how you combine the scores/votes.
I think the best methods of combining scores are those which offer a consistent and even balance between judges' assessments and public preferences. DWTS probably feel they've succeeded in this, but they've not taken into account the fact that the judges don't use the full range of scores, and you end up with the judges' scores grouped tightly together. Because of this there's little to protect the top performers from being thrown out (you'd definitely need a dance-off, and you'd still get major upsets).
So the next best thing is to use the points sytem based on placings. If you could get rid of tied scores, everything would be straightforward. But if you allow ties to be reflected in the points awarded, then you need to be careful. The current system, in my view, erodes the judges' influence too much - depending on how many ties there are. The old system certainly doesn't do this, but in certain circumstances may be felt to go too far the other way.
I reckon Dr. Jan Itor's suggestion (earler in this thread) is by far the best compromise.
All this is academic, of course - nothing's going to change!