Sort of. At least they all play in one tourney though (impossible in FB obviously), so the wheat is separated from the chaff pretty quick, or at least eventually. People who post that the winner of the NIT is the 66th best team are wrong, to your point. Austin Peay got hot and won their conference tourney, will be in March madness, but would likely be the worst team in the NIT. I don't actually mind it too much, as its in the control of teams to actually beat APU and get in themselves, but they really don't add much value to be sure.
As far as a team like Pitt "deserving" to go. The ncaa set forth the parameters, and have a committee to determine the merits of each school, good or bad. If we get picked, or less likely win the ACCT, we absolutely deserve to be there. I don't understand how anyone could say otherwise. If we don't get in, we deserved that outcome that too. We will find out what we deserve next week I suppose.