The food at 'Ohana is fairly tasty for dinner, though I think there are better choices within WDW. The service was rather indifferent, and we were packed in like sardines.
The character breakfast food in 'Ohana was horrible, in our experience. Cold eggs, stale "Mickey waffles", etc. We enjoyed the characters coming by our table, but the food left much to be desired, and the service (except for the characters) was not attentive at all.
If you'd enjoy good food for breakfast, but without the characters (a bonus for us now that our kids are older), try Kona Cafe at the Poly. Now that's a good breakfast.