sounds like you are making good progress

As far as the puppy goes, I bet it will be fine...I'd certainly supervise when they play and plan to "interrupt" often.,. i.e. have yummy treats and when the start to get really wound up (before they go over the top, hold a treat to each dog's nose, lead them apart (treat is like a magnet), let them calm down and then say "go play." Rocco will probably give the puppy some license to be "rude" for a while, and then may correct him...puppies need to learn appropriate dog interaction behavior from other dogs, so Rocco can be quite helpful...
As far as stuffed toys, one of my dogs loved ripping up the toys and pulling out the stuffing...I just stuffed it back in and let him do it...I never found a toy he couldn't tear apart, even those that claimed to be indestructible...just took a few minutes longer...another of our dogs also enjoys ripping up toys, but he eats the stuffing, so...no unsupervised stuffed toys...he also doesn't like rubber toys, but does chew on sterilized bones, some antlers, some other hard toys...I had to teach him to fetch...he liked squeaky toys so, starting inside, I did a lot of "trade" with the toy, then tossed it on the floor right in front of us, he's pick it up, I traded for it and gradually tossed it further away...I would also persist with "tug;" if he only plays a little, that's OK...it is interesting because apparently some dogs need to learn to play with toys...
I would also be careful with the e collar...the concern for me is that with a sensitive dog, if he gets shocked, he might associate it with something unintended, and get more worried...In our classes, we have had dogs who were put on pinch collars, and got excited when they saw another dog, pulled, got "pinched" and apparently decided it was the other dog who caused the pain...became dog reactive and then we had a bigger problem...won't happen with all dogs, but...I think the grass problem needs to be analyzed to figure out what the purpose of the behavior is (attention, play) and then work to deal with it...if you are taking Rocco to a class, you might talk to the trainers who can ask questions and help you sort it out...it is hard because if he's just playing/exploring, it is self reinforcing and requires supervision to re-direct him...
I'd love to see a video of his GI Joe...my husband often says of ours, "If they weren't so cute, you could get really mad at them..."
