It appeared so. iDevice will be equivalent to a built-in camera, presumably microphone too and you'll see the other person(s) on your Mac screen. This seems like a fantastic feature because it can use a much superior camera than any built-in ones and basically bring easy FaceTime to many monitors without a camera at all.
The big surprise to me is that this wasn't also announced as a tvOS feature. I can't begin to count how many wishes I've read to get FaceTime working with the TV screen. Since the Belkin hook will have to be pretty flexible to work with any screen and TVs are just one big monitor screen, this seems like an obvious feature to work into tvOS too. If so, I'd buy one Belkin hook to just leave on the TV and another for the desktop monitor.
It's wireless, presumably working via airplay or something pretty similar. Why NOT make AppleTV work just like the Mac will work for this?