Your rule sounds fine in theory Jeri, unfortunately in practice where you gonna find another engine supplier with the kind of deep pockets to invest in an F1 engine with no chance of selling it at a profit to the end customers.
Even charging 5 teams $40m each year comes nowhere near the true costs, and that's nearly twice what they pay at present.
The big costs are in the initial development from scratch, but you will still need money spent on continuing the development or the cars running your engine will be permanently glued to the back of the field - not what you have in mind I'd guess.