I think the real reason UQ hasn't entered a bid is because if such a bid was successful, the QRU might have had to force UQ to separate the club from the NRC team and also probably restrict the current rugby club to students and alumni in an attempt to stop every good player flocking to UQ to try and make the NRC team.
UQ rugby have a good thing going, and the University as a whole isn't at all desperate for students, hence no need to advertise via this avenue.
1. The UQ Rugby Club didn't enter a bid because there was tremendous trepidation about entering into a commitment to lose 200-500K per year for the next few years when the competition itself was poorly elucidated and the ARU were unable to answer even the most basic of questions about it.
The University of Qld (the institution) didn't get involved because the time between EOI and submission of application was three months (2 if you remove Dec for hols). Like all large institutions there is no way the Uni would've had time to meet, discuss & approve such a large commitment to recurring expenditure within that time; knowing how the machinery of unis works it would take closer to a year and they would need all the information that the ARU were unable to provide, even to simply get it on the meeting agenda.
2. Even if the UQRFC had submitted a team, the players (and if you read the Pulver presser announcing the comp, the coaches too) would be largely determined by the ARU. And anyone serious about winning the comp would pick the best club players available, regardless of where they played club rugby.
3. The QRU has no right to interfere with, or otherwise influence, where amateur players choose to play. Nor do they have the right (legal or otherwise) to restrict the membership of the UQRFC.
For even more reasons than what I've mentioned here, Bowside with all respect, your 'real reason' just doesn't hold any water.