hi,
Once the publication process is launched then yes, normally everything (initial sub, reviews, responses, final paper) is published.
I think one good thing about the standard review process is that authors are motivated to strive for excellence, since they do not know if their revised submission is finally going to be accepted. From this point of view, it is good not to give a promise of publication on the early stage.
From the point of view of ISI politics, it is also important to have a
comparable statistics of rejection rates.
In any case, I think that supporting JPP would be a great solution, especially if JPP was willing to consider some adjustments in publication policy (or at least open it for a discussion). It is much easier to partner with an existing journal than start form the scratch (and also, JPP seems to be very well targeted to our model solution here, and seems also to reach a little outside just the wiki world, which is a good thing, too).
OK, it has been way too much from me, and I apologize for inundating the list.
best,
dj