Hi Molly,
You can see the afternoon parade from Tony's Town Square Restaurant provided you are sitting out on the patio. However, you can only request this and there is no guarantee you will be seated on the porch for the parade.
I think the restaurant is fine for lunch. However, the same items are usually available for dinner but with a price increase. Tony's is not the only restaurant to do this which is why some guests like to dine at certain restaurants for lunch but not dinner.
I believe the flatbreads can be adjusted prior to cooking for your husband. If not, he will need to remove the peppers and onions afterwards. I would also plan a back up as the menu can change. I find most of the menu items standard Italian pizzeria style items.
When my family tours Magic Kingdom, we generally eat in the resorts nearby as we find they have better food as well as it is nice to get out of the parks for a little bit each day.
Wishing you a magical vacation!
Beth