Hi Al.
I did call it a
simplified family tree. But the details are quite interesting, so let us dive into them
Palaeonthologists say that
Archaeopteryx and birds are closely related with Troodontids and Dromaeosaurs ( aka "raptors" ) Such a relationship dictates that the last common ancestor of Birds, Troodontids, and Dromaeosaurs must be at least slightly older than the oldest known member of each group. Only very few species that have ever lived, are eventually found and described by scientists, so we may never find fossils of exactly the ancestor species. But some fossils of these "putative ancestors" seem to be quite close to the root..
As you point out, derived dromaeosaurs like
Velociraptor are some 70 million years younger than Archaeopteryx, so they are of course not the ancestors of Archie. Fortunately much older raptors have been found, such as
Sinornithosaurus and the gliding
Microraptor, who are only 20-30 million years younger than Archie.
Troodontids are known from even older layers, especially
Anchiornis, known from 160 to 155 million year old fossils. Older than Archie
Pedopenna is also older than Archie but only known from a fossilized hind leg. It looks like a primitive raptor but may also be a primitive troodontid. (In fact it is so close to the root of both lineages, that is hard to tell where it belongs).
Pedopenna is from the Daohugou Beds in China. The age of this geologic formation is uncertain, but it is probably somewhere between 169 and 152 million years old.
Epidexipteryx and
Epidendrosaurus (aka
Scansoriopteryx) are found in the same geological layers as
Pedopenna and their skeletons are very much like that of
Archaeopteryx. So much that they are considered close to Archie.
Epidexipteryx,
Anchiornis,
Pedopenna, and
Microraptor were all feathered dinosaurs the size of a crow, just like
Archaeopteryx. Their arms were proportionally long compared to the legs, just like
Archaeopteryx.
Anchiornis,
Pedopenna, and
Microraptor all had long feathers on their hind legs just like
Archaeopteryx, and so on. Although they were evolving in different directions, their many shared characteristics indicate that we are getting close to the body shape of the common source.
Once again I've spend some time in Microsoft Paint. This is the detailed family tree of the Paravians as it is currently understood. For simplicity I've left out a great many species of Cretaceous troodontids, dromaeosaurs, and birds. The dashed red line is of course the KT extinction.

(edit: that picture became very small once posted. Here's a link to the full version
http://img704.imageshack.us/img704/8923/paraves02.jpg)
The take-home message is this; Birds did not evolve from an animal exactly like
Velociraptor, but they evidently share a common ancestor with
Velociraptor. And the fossils indicate that this common ancestor was a small, light weight, feathered, possibly gliding, Microraptor/Anchiornis/Epidendrosaurus-kinda creature from the early or middle Jurassic. New fossils may lead us towards a different picture, but this is what the evidence points to at present.