1) I didn't even do the summer writing assignment until after it was actually due on the first day of class. They don't grade them nor refer to them in any way. Just have something on paper and forget about it.
2) I've never heard of them moving anyone from one section to another, unless something unusual is discovered (they find out that two married students have been inadvertantly placed in the same section). Not going to happen too often.
3) Studying that much, coupled with the written work for LRWA would kill you. Go read the post I have up on the "Studying" thread for my opinion on study habits. I ended up the first year with a 3.75 (Top 2 or 3 %), worked Thurs-Sun in Austin and had my first kid in the process.