The rule existed because the KJC conference is for the development of Kansas kids not some racist bullshit that moron wants to trumpet. Many of the players on the better schools (Butler, Garden City, Coffeyville, Hutch), especially linemen and interior positions, are Kansas kids, D1 talent-worthy, but D1 scouts aren't rushing out to bum-fuck KS small town that's a 6 hour drive from civilization to watch these kids play in HS. At these jucos, many of those individuals would be seen by and get picked up by D1 and D2 scouts for their sophomore or junior year since it's easier to recruit 8 jucos than the entire state when they're in HS (many of these kids don't have to stay 2 years since, well the ones that made it through the NCAA clearinghouse like Will Honas who shined at Butler and is now poised to be a key player on the Cornhusker defense this year after getting no major looks out of HS). The non-qualifiers have to stay 2 years (like a Cordarelle Patterson who played for Hutch (now Raiders) or Michael Gallup who played for Butler (now Cowboys)).
The rule change was a HUGE point of contention to the long tenured coaches in the conference because they knew it would come at the expense of KS kids, who in years past made up 75-90% of a given roster. And it has, sadly. Where in the past, teams in this conference were allowed 12 (I think that's the number it was) out-of-state players, today it's unlimited. And guess what... the Indy team featured on Netflix had THREE Kansas kids on their roster. It sucks because hundreds of Kansas kids are missing out on the opportunity to play juco football and thus not get that look from a D1 or D2 school. These are state schools, funded by the taxpayers and the motivation was to have them for the good and the benefit of young men and women from the state of KS. And as you said as well, the TX and MS conference has even stricter rules... but then again those two states have better talent pools anyways and don't have to pull so many from OOS.
The Indy president is a douche like his HC. The pissant schools of the conference worked together to get the OOS rule changed because they knew otherwise they'd never compete. And in many ways they were right. Not that parity is bad, but it has really sacrificed the heart of the conference as one truly for children of the sunflower state. (In comparison to Indy's 3, Butler had 35 Kansas guys on their squad last year)
The name of the game in juco ball is not just winning, but sending kids onto the next level...