I think he knew there were protection issues that made things tough during the previous two series and he was afraid of another turnover and wanted to take the half to come up with a solution. I didn't like the call, but having gone back and watched the two series before that, I at least understood why he did it.
The punt in overtime, I don't know what else you do there. 4th-and-3 near midfield (and on your side of the field), if you don't get it, they don't have very far to go in order to have a shot to kick a field goal and win it. I think he was hoping Bailey would pin them back inside the 10, they'd potentially hold them and maybe start the next drive with better field position...who knows.
But it's just frustrating they couldn't just sustain the drive in overtime and that it even got to that point. However, I agree, as soon as they punted (and the fact they didn't get any points), it was probably over.