Also, because I cant remember anymore, does the simplex soundhead take the sound off of the film to something that is usable?
As it is, any soundhead will pick off the analog sound track. That signal is usable, because it serves as the back-up to your digital sound. A DTS reader would be mounted on top of the projector. A Dolby digital digital reader is either mounted on top of the projector or at the sound drum (with the analog pickoff). These readers pick up the separate digital track and send that signal to the appropriate brand of processor.
When you have digital sound, there are actually two sound tracks available to your system at the same time, though only one is in use. The sound system will default to digital, if it is available. If the digital fails, or is unavailable, the system will revert to the analog track.