Blu-Ray authoring workflow

Hi all,
I am just starting to work with Blu-ray. I created my first disk both BR-RE and a BR-R disks. I have been using Premiere Pro cs5 with latest updates for a while now. I have been taking HD content and exporting a dvd mp2 file with the following settings. 7 mbit max, 4-5mbit target, 1.5-2.5 min setting. This works flawlessly, never a problem. If I go higher let's say to 8 mbit I get glitches stops and starts playing back the video.
First, I exported a 1920x1080 timeline in PP CS5 from my new Canon 60D camera as a Blu-ray mp2 file. I get the same problem in Encore that all of you are having which is that Encore says the m2v file need transcoding (untranscoded). I already transcoded the file in media encoder from PP so this should not need to be transcoded again in Encre. PP say that there is an update to media encoder that I can update. Maybe this will fix the issue?
I also would appreciate some help getting stated with transcode setting for Blu-ray. One thing using the canon 60D do I need to convert the mov file first to Apple Proeres format before editing in PP?
Next, what's the best bitrate setting to use to export/ encode the file. I used the default settings in media encoder which I think was 15MBIt. This does not play correctly in my Blu-ray player. So I have to find a better sweetspot. I have read that 20 or 25mbps is better?
And is it true that i should use the Blu-ray h.264 setting instead of Blu-ray mpeg2? I think the quality of Mpeg2 is really good.
One last setting issue in Encore. There is a setting either to output an ISO image file in either BR-R or BR-RE. What's the difference? I just outputted a BR-R image file and wrote it to a BR-RE disk and it played just fine so I was wondering what the differences in the settings? I would like to be able to output one image file and use it for both -RE and -R disks.
Oh, from my camera I just copied the mov file to a folder on my HDD and then I just imported the mov files into PP as a timeline. The Video does play a little slow but not that slow on my PC.
Thanks for the help,
John Gerard

Set the vbr to 1 pass or use the H264 codec.
Best is to set the mbps same as the footage.
The default settings work just fine.

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    function(){return A.apply(null,[this].concat($A(arguments)))}
    i just want to have a song playing in the background, while it goes through each of the chapter menu pages. i havent tested it on a real player yet, because i'm still tweaking menus, but in the Encore review box emulator, at each page the song starts up again. isnt that part of the blu-ray specification? seamless motion menus?
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    function(){return A.apply(null,[this].concat($A(arguments)))}
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