Looks like Duke Nukem 3D and Decathlete have to go.
Here are the games that will be in the tournament:
Albert Odyssey
Battle Garrega
Burning Rangers
Christmas NiGHTS
Dark Savior
Daytona USA
Daytona USA: CCE
Dead or Alive
Die Hard Arcade
DonPachi
DoDonPachi
Dracula X
Dragon Force
Exhumed/Powerslave
Fighters Megamix
Fighting Vipers
Grandia
Guardian Heroes
Gunbird
House of The Dead
Last Bronx
Lunar Silver Star Story
Lunar 2: Eternal Blue
Magic Knight Rayearth
Manx TT Super Bike
Marvel Super Heroes vs. Street Fighter
Mega Man X3
Mega Man X4
Metal Slug
NiGHTS: into Dreams
Panzer Dragoon
Panzer Dragoon II Zwei
Panzer Dragoon Saga
Pocket Fighter
Radiant Silvergun
Resident Evil
Samurai Showdown 4
Sakura Taisen
Saturn Bomberman
Sega Rally Championship
Sega Touring Car
Sexy Parodius
Shining Force III
Shining the Holy Ark
Shining Wisdom
Shinobi X
Silhouette Mirage
Soukyugurentai
Steep Slope Sliders
Street Fighter Alpha
Street Fighter Alpha 2
Street Fighter Collection
Street Fighter Zero 3
Strikers 1945
Super Puzzle Fighter
Three Dirty Dwarves
Thunder Force V
Virtua Cop
Virtua Cop 2
Virtua Fighter 2
Virtual On: Cyber Troopers
Waku Waku 7
World Series Baseball 98
X-Men vs. Street Fighter
I'm going to work on a preliminary tournament bracket. Unlike GameFAQs this isn't going to have totally unrelated games going up against each other, just so the winner of a division will be hard for people to guess. The point of all this is to gauge what people like, by putting similar games, and games of the same genre together. Also I have too much time on my hands.