Yes all of that made him just an average to below-average RB (edit: like the 20th best) in this league. I agree - too much dancing and not hitting holes hard enough. I think he was a better pass catcher than you describe though.
Still, we currently have 3 absolute non-entities at the position and he would have been better. He probably knew that he wasn't going to be Tomlin's bell cow, and maybe that motivated him to leave. But for $1.75M...you'd think we coulda added $.15 or $.2M and made him stay.