yes they have king beds - a cheaper alternative might be the cabins at FW - they can sleep 6 in one cabin.
I think the cost of the trundle bed is $15 extra - but I think if you make the reservation for 5 - you will get the trundle bed. these are only in the AB section.
I think the group rates are just so-so (you would be better off finding your own discount
AAA, annual pass, mousesavers) - unless you need 20 or more rooms.
make sure you registrator your group for their new gathering....
also WDW is expensive - so make sure that everyone can afford to stay on-site before you make the reservations.
boy I am forgetting - you can rent a reservation (not just points) from a DVC member on the DVC rental/trade board - then you can stay at OKW (the cheapest point wise) - it is right next door to POFQ - so is in the same neighborhood.
a 2-bedroom can whole 8 guest - a king bed, a queen sleeper sofa, and 2 queen beds. plus a full kitchen, full size balcony, washer/dryer, whirlpool tub, shower, tub and shower comb in the second bathroom.
a studio can whole 4 guest -
I would get a 2-bedroom for you and your family and get everyone else a studio - then they can meet and plan in your room. unless of course they want a 1-bedroom or a 2-bedroom....
here are some pictures - not mind
http://www.wdwinfo.com/photopost/showgallery.php?cat=533&thumb=1
some information about OKW
http://dvc.disney.go.com/disneyvacationclub/resorts/resortdescriptionindex?id=OldKeyWestResort
