If you get an annual passholder discount it is Room only. You only need one pass per room, and they'd have to buy their tickets from Disney or somewhere like Undercover Tourist. We do this all the time...I have an AP but sometimes I go with family that doesn't. You can get an AP "Package" to add dining but there still aren't any tickets involved.
As for adding them to the room key I think so but I am just not sure...we never have. They just carried their tickets and room keys both.