I posted the majority of this message to the OpenLMS Support team (Thanks Barry!) but wondering if it would be beneficial for additional input. 

I have been hyping up H5P and have seen several instructors invest a lot of time creating activities within their classes using the "Interactive Content" Activity — now marked for Legacy status. The new 3.9 features of H5P seem a serious step backwards due to new workflows and/or short-sighted implementation. So much so, that for the first time, I'm seriously thinking of temporarily disabling this for our users.

Aspects not quite ready:

  • H5P content uploaded/created through the Legacy Interactive Content plugin isn't available for easy transfer to Content bank (Andy has mentioned turning on the download option for each activity to download/upload into the bank). The issue is even deeper in that H5P content uploaded through the Atto H5P plugin also doesn't appear in the content bank. In other words, it's a major change in workflow. Moodle quizzes had the same issue back when they launched the Quiz Bank function where unless the quiz questions were created directly in the quiz bank, they weren't reusable in other quizzes. The behavior now is that all questions created inside of a quiz can be accessed through the quiz bank and vise-versa.
     
  • H5P activities embedded using the atto HTML plugin aren't quite connected to the gradebook yet (Andy mentioned H5P IS in fact tracking the grades via xAPI BUT it's not connected to Moodle's gradebook). I feel like this was our key motivator for hyping the 3.9 release and a bit of a let down. A tracker is in the works to create the connection but may not be ready for v.3.10.
     
  • The H5P content bank workflow requires extra clicks before users can create their content and insert it into the course. If the new workflow had carved out a space to put H5P's activity creation chooser (creates a new activity stored in the content bank) OR use the package upload or choose previously created content (Content bank) -- that'd be a MAJOR improvement. As it is now, the combination of a new content bank window and content bank through the file picker interface is completely counter intuitive.
     
  • Content builder within the content bank doesn't utilize the H5P activity picker interface to accept new OER content from the Hub (coming soon) — it currently uses a simplified dropdown box. How will this work (or not) in the future? Is there some kind of hidden "display H5P activity chooser" setting I'm just not seeing?  See H5P's note in July RE: Community vs core H5P plugins

Support issues:

  • No method provided to delete or remove content within the H5P content bank. This is likely an OpenLMS privileges issue and am working with OpenLMS support team to address as Moodle Core shows a "cog" menu option for renaming and removal.  Solved: Operator error. Delete function is available but buried within individual H5P activities under a cog menu.
  • H5P activity added to the description box (question text) for a Moodle quiz question, causes "h5p error: file not found". I'm simply attempting to insert any H5P activity using the new atto h5p HTML editor plugin into a Moodle quiz. Hopefully this is a simple files permission or location string issue that can be addressed via support. Confirmed by OpenLMS support. For the moment, h5p atto editor cannot be used in some (i.e. labels, pages, book) but not all activities such as quiz questions. There is a bit of an assumption that "h5p everywhere" will eventually be the case but is for 3.9, it's a "work in progress".