The states in the west are large in comparison to those in the east. My suggestion would be to let the states in the west that have numerous members be their own chapters; and those in the east can be grouped together.
As time goes on, and the chapters that are ready to form set the example, I think other states will step up to the plate. This is too good of an idea to let it drop because of it turning into a logistical nightmare. We need to roll with it.
My personal belief is that if the designated chapter areas are too large, it will be too much for the chapter leaders to manage. I don't see anything wrong with the "Wild Westerners" having individual chapters and the Easterners grouping together -- after all, we have individual counties that are larger than entire states on the east coast.
Western states that are large enough to be their own and have numerous members include: Arizona, California, New Mexico, Texas, and Utah. Texas is obviously large enough to split into two sections, as well as California. It sounds like the Northeast and Southeast groups are doable the way you have them broken out, Sam.
I say, "Roll with it," and things will begin to iron themselves out as we get going.
Edit: Another thing to consider is if the areas are too large, then you get into more people's conflicting schedules and it becomes much more complicated to choose a date when the majority can attend. Just ask Guy and Trenton!