I just got back and noticed the following:
Old keys no longer work...
I had a split stay and ended up with 3 room keys by the 8th day of our vacation and was able to pull from all 3 keys plus our tickets...
walked up to Tower of Terror at 9:05 and new fast passes had a 9:05 return time. I pulled a set of FPs and saw that the next FP was available immediately. I was able to walk to the next next machine and pull another set. I was able to do this at each machine. I was able to replicate this at Star Tours the next day....
I had a problem with a paper fast pass and tried to bring it to the attention of Guest Services... I was told that since we had magic bands, we were not allowed to pull paper fast passes. When I questioned why they keys still worked, I was told that "only greedy jerks" would pull paper fast passes. Needless to say I was shocked and complained further up. This was backed by two more CMs, so I just walked away...Formal complaint letter is following....