What I am advocating is a more competitive tournament that rewards the active manager who's put time and effort into improving his team and setting his lineups. The current tournament set up favors pure dumb luck over rewarding good managers. We just had the fourth round in the USA. There's no reason why bot teams should have even been in the tournament by that stage. If you want to make the tournament a lottery, well that's your design choice. It's your game, not mine. I'm just saying, I don't find the current tournament to be a rewarding experience given the complete randomness of pairings and the astronomical number of computer controlled entries.
What you are suggesting would end up pitting #1, vs the lowest team, #2 vs 2nd lowest, etc. In doing that, teams like yours (Level IV, V) would never make it out of the second round of the tournament. If that is the case, it would make just as much sense to limit the National Tournament to the top 3 divisions, because in that type of format, that is pretty much what you are going to end up with anyway.
The Random factor creates an opportunity for lower level teams to also have a chance to make a cup run. This run is a boost to their income, season ticket holders, fan survey, enthusiasm etc. The Cup Tournament can be a boost for lower level teams to use in their effort to advance and promote.
Everyone in the tournament has the exact same odds of drawing a bot, as they do a quality team, or drawing an away game, or home game. This is why last season we had a DV team make a run all the way to the final 64.