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The rule that you quoted relates to State tournaments not World Series. The rules are vague concerning the process to follow but they do mention that full information will be forwarded to each league.
"All tournament hosts shall be decided on a bid basis, with all leagues being notified in advance with full information as to the requirements. The decision awarding the tournament shall be made by a representative committee or delegate of the leagues involved."
In 2005, Dixie will celebrate its 30th anniversary and selected a site that could host all Dixie World Series. Sounds like your state, district, or local league officials dropped the ball. How close is Bay St. Louis to Ocean Springs? I noticed that they are hosting the Angels' World Series this year.
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