It's VALVes game to do as how they want, just because there ARE 32-player servers with 0 respawn times and are the most popular doesn't mean VALVe are wrong.
They designed the maps with a maximum of 24 players in mind, and why they removed grenades to stop spam, and why they implemented UberCharge to prevent long stalemates (which 0 respawn times pretty much nullify).
Also in the developer commentary they mention additional methods of helping the more aggressive team with slightly lower respawns and higher crit chances the better you play during a round to increase the chance of a team winning, resulting in as few draws as possible (where Sudden Death is the last resort).
I personally agree with Anim about those servers, and it detracts from how VALVe want you to play the game, not how that particular server admin thinks how you should play it. Besides, there's plenty of other servers available, with or without 3rd party hacks, freedom of choice.
You simply cannot say because people want FF on, or they want crits removed, or think certain map exploits are ok they should be endorsed by VALVe, neither is it TFC. The community isn't always right, nor should it be, and that's also the case in MMORPGs where developers come under way more scrutiny than any FPS game could ever be, yet if you implement all the ideas the community(/ies) suggest it would ruin both the gameplay and balance.
In the words of one of the developers for TF2: "It took us 9 years before we produced something we were happy with"