The types of player Holz was able to bring in during the first part of his tenure at ND would not even be considered for admission due to the tightened academic requirements. Except for the name and history, which is huge, ND is more analgous with the likes of Stanford or Northwestern than Ohio State, USC or Florida.
That used to be a favorite rationale, but not anymore, USC has a lower admission acceptance rate than ND:
USC accepts 21.9% of applicants and Note Dame accepts 26.7%
http://colleges.usnews.rankingsandreviews.com/best-colleges/lowest-acceptance-rate