"Will Orlando be under water? Does power get restored at WDW pretty quickly?"
That will depend entirely on how bad the winds are when the storm actually strikes (presuming it doesn't veer at the last minute, of course.) If it is still at cat 3 when it reaches Orlando, you could have lake surge in several places, which would cause some quite nasty flooding; remember that Orlando is dotted all over w/ lakes.
As to power outages, that also depends on the severity of the storm. When Andrew hit Homestead there were some areas that were out for weeks because the power *stations* were flattened and had to be rebuilt. Andrew was a cat 5. A cat 2-3 shouldn't do that much damage, but it's possible that some transformers will be knocked out. That tends to take a few days to repair.
Make it a point to check the web pages of Orlando-area television stations and the Sentinel late tonight and tomorrow morning. They should have an idea then of what kind of time it will take to recover basic services, if they get knocked out. Oh, and try to keep your gas tank topped as you get further South; gasoline stations often get tank leaks in hurricanes, which means that gas shortages are inevitable.
As Safetymom pointed out, no hurricane has tracked right across the Orlando area since Donna, a cat 4 that hit in Sept. of 1960. Disneyworld has never had to deal with a direct hit, so if one happens, it's pretty impossible to predict how long it will take to get everything in working order again.
