If you had specified that music on the PA during breaks in the game was first played during the Kelly era, you might have been correct. However, your initial post said only: "Crazy Train on the PA system", implying that was the first time recorded music had been played on the PA system in general during ND game days.
Of course, if you truly believe that playing music on the PA during timeouts, very select night games, or one-off alternate unis are signs of being "desperate", we certainly have a different definition of that word.
BTW, how about that ND schedule this season? I've been following CFB closely for decades, and ND 2012 has one of the most brutal schedules I've ever seen: (8)Michigan, (12)Michigan State, Miami, (13) Stanford, (4) Oklahoma and (3)USC. Throw in "breathers" against Navy, Purdue, BC, BYU, and Wake and that's quite the gauntlet. If desperate Kelly can get 8 wins out of that group, he's done a great job.