No, Louisville is a good football program with great facilities, located in an area with a small population base and mediocre (at best) high school football. Yes, there were quite a few worthy candidates available for the job, but none with Petrino's proven track record of winning as a head coach in the Big East and the SEC.
We weren't bidding against anybody for Petrino's services (in early 2014), but that would have changed in 2015 or 2016. The big salary and even bigger buyout locked him in through 2018, at least.
We DO have a great athletic director. Many UK fans hate him, and others give him grudging respect - which is at least one sign that he really IS a great athletic director.