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So is giving preference to the higher seeded team just a convenient tie-breaker or is it also viewed as a reward to the higher seeded team? Either way, I hope that part of the rule (or guideline or whatever it is) is scratched this year.
It is viewed a a reward.
In 2006, our friends in Knoxville, viewed by many as the #5 team, got to face #1 UNC in Ohio because the location was closer to TN fans. (As the committee chair explained.)
Meanwhile, #4 Ohio St (whom the Vols thought they would face) got sent out west, and promptly lost in the 2nd round. Setting the stage for that region's #2 seed to advance.
That #2 seed was Maryland.