Update: I took DD to the level 3 team practices this week. She was definitely the smallest and weakest one. I asked the coach about this, but she insisted she is ready for this level. At first DD was really tired and about halfway through the practice wanted to leave, but by the end, she didn't want to leave and begged to go back. But, I was really overwhelmed by this gym. First of all, it looked like there were 4 or 5 different types of classes going on at once, so it was packed. That might be normal though for a larger gym--it had a herding cattle feel though. I was talking to two moms in the waiting area who are commuting three hours each way to bring their 6 and 7 year old daughters to this team practice twice a week. Also, the gym has a homeschooling program. Some of the kids have plans to drop out of their schools and enroll in the gym's school. I really got the feeling that if we aren't willing to invest that much and pay for 3 hour private lessons on Sat and Sun, they will not be as invested in DD. I just think this is too much for a kindergartner, and we have two other young daughters.
Meanwhile, I spoke with DD's old coach, and she told me that they left her with the preschool group because they planned to move her straight on to the level 2 team as soon as this meet season is over. She explained that the older developmental class is very large (true), and the instructors would have less time to give her individual attention to improve her form for level 2. (Although the preschool group recently has gotten large, and none of the kids are getting much individual attention.) She said they used to have an advanced preschool group to bridge over to team, but they are too short staffed to have this year. So she has been moving kids up to the larger developmental group to try to shrink down the preschool group. I guess this makes sense, but maybe this should be communicated to parents. Meanwhile, it appears that my DD is getting left back, and the parents whose kids got moved into the bigger group think that they were moved up because they are progressing.
DD now refuses to go back to preschool group because she wants to go to new gym. I don't blame her. I would be insulted if the kids around me were moving up and it looked like I was being left with babies. Old coach says she will do a weekly private lesson with DD until after meet season. This is a little bit of a headache. I am secretly hoping maybe DD will switch to soccer or tball.
ETA: Current coach advised us to "stay away" from new gym and said she was recruited there when she was young too. She didn't really elaborate though.