GW did this at my first GT, Baltimore 2001. You had a 1250 core list with two 500pt sideboards. The whole 2250 army had to be legal within one Force Org, as did either 1750 configuration. The whole 2250 was judged for painting and composition.
Each game you exchanged core lists and picked a 1750. In game 4 the other 500pt force was part of the game, and started in Reserve. In game 6 the non-selected 500pts again did not start on the table; instead, starting on turn 2 each turn you could either bring a unit from that detachment in, or bring in a completely-destroyed unit that had already been on the table.
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