Hello kdibattista ,
I have never used the package before but I will do so for my trip in October. In the past, I have asked similar questions to those who have used it before. So, this is what I know about the package.
1. It does include tips and you are not obligated to leave extra.
2. I believe you are allowed to order the following items for breakfast, lunch and dinner (information from Deb's website)
Breakfast: Choice of one juice, one breakfast entree, one hot beverage and one bakery item per person OR one full breakfast buffet per person.
Lunch: Choice of one appetizer, one entree, one dessert, one non-alcoholic beverage and one coffee or tea per person OR one full lunch buffet per person OR one combo meal per person.
Dinner: Choice of one appetizer, one soup or salad, one entree, one dessert, one non-alcoholic beverage, one dessert and one coffee or tea per person OR one full dinner buffet per person.
3. When I made my PS, the CM did ask me whether I have any meal plan or package that includes meals. So I informed the CM that I am using Discovery Package. If no one asks you about it, you don't need to tell them until you go to the restaurant. But make sure you check the balance of your magic options each day with the Guest Relations of your resort. Some CM may not be experienced enough to charge you properly.
Hope it help!
Jean