They look at the distance all 8 north semi-state teams have to travel regardless of how close one school might be to a tournament site. Carmel would have had to travel 141 miles to Elkhart which would have been much farther than any other northern team. Even though it seems strange to send teams that could walk to the semi-state to another site it makes sense if you look at the numbers.
In the south, Barr-Reeve experienced this last year when they got sent to Seymour instead of Washington which is only 7 miles away but when you looked at all teams involved it made sense. BR was fortunate enough to make it back this year and it worked out for them to go to Washington but it was a different group of teams involved.
I think most teams that aren't playing would trade you places and willing to travel any distance for the chance to play in the semi-state with a shot at a State Finals berth. And speaking of the state, if Penn wins I guess you won't be making that trip to Bankers Life because that is even farther than Jeff.