Tony,
I think you hit the nail squarely on the head.
It is no longer a Members contest.
I could agree with the decision if the regular prize was going to something more that a $13 embroidered hat or an annual prize of an embroidered denim jacket. Now if the yearly prize was going to be a Randall Knife or something comparable that's totally different and I could understand the need for a more formal judging process.
Come On Guys!, Over the years this has been a laid back, mostly informal contest just for fun that has yielded some great photographs in the process and now you announce a judging panel for a "Members Contest" with ZERO input from the Members you expect to participate.

Looks like this forum needs something similar to the Tea Party Movement
When it comes to Creative Merit, well hell, that's totally subjective from the get-go but you could at least list some examples and as for Technical Merit, unless you get into things that are quantifiable, Technical Merit is totally subjective as well. What are you talking about? Focus, Resolution, Contrast Ratios, Depth of Field, Lens Distortion? Creative Merit = Beauty Is In The Eye Of The Beholder and Technical Merit is based on the root concept of measurable parameters.
The new judging process seems to be nothing more than the subjective opinions of three designated members vs. the subjective opinions of the entire viewing/voting body.