Miami had that whole scandal with the booster that was buying outrageous things for players. The school "still has not been presented with its notice of allegations from the NCAA"[2] so they're hoping for leniency if they do all this self-imposed stuff before the hammer drops.
As for what it means -- it means they aren't playing in a bowl this year which means we're division champs by default. This is where I link to a clip from the Simpsons S05E15 (Deep Space Homer) where Homer becomes the chosen astronaut because of Barney's relapse. However I can't find it on youtube and I dont want to link to any irreputable sites.
craziest extra point you'll see all year: