That's generally the best solution. Just to follow up on your original issue -- the reason it did not work is MSBuild's order of evaluation. When MSBuild parses the .btdfproj, it parses and "materializes" those ItemGroups before it ever gets to the initial execution steps. It is too late to change the ItemGroup definitions by the time you get to the settings export and conversion into MSBuild properties. I believe that moving them below the Import still would not have helped.
Tom
Tom