There are all kinds of governance models, as there should be.

> a multi-sig wallet controlled by a “DAO Committee” to enact those off-chain decisions

DAOs may empower a multi-sig with certain allocated funds to spend according to a mandate. This is ok. It's like saying America is not a democracy because regulators can make new rules that congress is not voting on.

It also possible to have off-chain voting, but still enforce those results on-chain using a fraud-proof like system, and some do this. Lots of design space to play with.