There is certainly an attractiveness to this line of reasoning, as the SEC has several schools with outstanding football traditions. Of the 93 schools that have played I-A football for the last 35 seasons (1970-2004), the SEC has seven of the top 21 programs, if one uses average score-based (predictive) ranking as a measurement. Alabama ranks fourth over this period (behind Nebraska, Michigan, and Oklahoma), followed by #10 Florida, #12 Tennessee, #14 Georgia, #16 Auburn, #18 LSU, and #21 Arkansas. For comparison, the ACC has two top-21 programs, the Big Ten has three, and the Pac-10 and Big Twelve have four each; Notre Dame is also in the top 21. It is also worth noting that the SEC was ranked the #1 conference in the nation seven times in the 1980s, and the #2 conference two other years that decade. So for those of us who have been watching football for most of this period (as I have), it is certainly reasonable to have a belief that the SEC is hands-down the most difficult conference based on the programs' reputations.
However, with the aid of computer rankings, one can look for shorter-term trends than strengths over a third of a century. Looking instead at just the last 15 seasons (1990-2004), the SEC has only five of the nation's top 25 programs (though the #26 team is from the SEC). For comparison, the ACC, Big Ten, and Pac-10 all have four top-25 programs, and the Big Twelve has six. In other words, the five major conferences are all comparable in terms of conference strength (given that the conferences with 12 teams ought to have more top-25 programs than those with 10 or 11). During this stretch, the Pac-10 (1991-1993), Big Ten (1994-1996), Big 12 (1998-2001) have each had strong runs, but no conference has dominated the way the SEC did throughout the 1980s (or for that matter, how the Big 12's precursors dominated the 1970s).
The bottom line is that we are in a different era of college football, with conferences jostling on a yearly basis for the honor of being "nation's best". Rather than relying on teams that are consistently outstanding, what matters now is how many teams are having good seasons this year. Case in point is the Pac-10, which was the #5 conference in 2003, but the best conference in 2004. What changed was that five of the ten teams improved significantly from last year to this year (Cal and Arizona State the most; also UCLA, Stanford, and Arizona), while only two teams got significantly worse (the Washington schools). While five up and two down is hardly a statistical rarity, it was enough to move the Pac-10 from last to first given the parity among the five major conferences.
So to answer the question posed in the title, the SEC is still among the nation's top conferences. In years when the SEC's teams have more good years than bad years, this may be enough to make them the nation's best conference. However, this wasn't one of those years, and the SEC was only the fourth-toughest conference.
1 Florida State
2 Nebraska
3 Florida
4 Miami
5 Michigan
6 Tennessee
7 Ohio State
8 Kansas State
9 USC
10 Penn State
11 Virginia Tech
12 Notre Dame
13 Oklahoma
14 Texas A&M
15 Washington
16 Texas
17 Colorado
18 Alabama
19 Georgia
20 Virginia
21 Auburn
22 UCLA
23 Oregon
24 Syracuse
25 Iowa
26 LSU
27 Wisconsin
28 Arizona State
29 Texas Tech
30 Clemson
31 Michigan State
32 Georgia Tech
33 Purdue
34 California
35 North Carolina
36 Washington State
37 West Virginia
38 North Carolina State
39 Utah
40 BYU
41 Arkansas
42 Stanford
43 Arizona
44 Southern Miss
45 Mississippi
46 Boston College
47 Colorado State
48 Air Force
49 Louisville
50 Fresno State
51 South Carolina
52 Mississippi State
53 Illinois
54 Minnesota
55 Miami (Ohio)
56 Oregon State
57 Oklahoma State
58 Maryland
59 San Diego State
60 Toledo
61 Kansas
62 Missouri
63 TCU
64 Indiana
65 Pitt
66 East Carolina
67 Memphis
68 Northwestern
69 Bowling Green
70 Kentucky
71 Iowa State
72 Wyoming
73 New Mexico
74 Cincinnati
75 Rice
76 Wake Forest
77 Baylor
78 Western Michigan
79 Louisiana Tech
80 Hawaii
81 Houston
82 Vanderbilt
83 Duke
84 Tulane
85 Utah State
86 Navy
87 San Jose State
88 Tulsa
89 Rutgers
90 Northern Illinois
91 Ball State
92 Central Michigan
93 Army
94 UNLV
95 SMU
96 Temple
97 Ohio
98 Akron
99 UTEP
100 New Mexico State
101 Louisiana-Lafayette
102 Eastern Michigan
103 Kent State
104 Arkansas State
Note: if you use any of the facts, equations, or mathematical principles introduced here, you must give me credit.