We've been during that time in May and it was beautiful weather, the crowds were a little high BUT we've been going to Disneyland in May/June for 5 years now & it's never a problem. ESPECIALLY if you get out there EARLY, rest in the late afternoon, & stay out later (Disneyland park is usually open until midnight around those dates).
If you aren't into big & fancy use your DVC points at the Disneyland Hotel. It's SO cute, Disney theming is EVERYWHERE, the pool is awesome, you'll have two of the BEST Disneyland restaurants right at your hotel, and you are right next to DtD & the monorail.
Seven days is A LOT, I would never say you'd be 'bored' but we've done 5 days in Disneyland and it was way plenty for me. Perhaps you MIGHT consider getting that city pass, a rental car, and using a couple days at those other attractions. It would be more costly but with 7 fulls days I don't think you'd be missing out on anything.
It generally takes about 35-40 minutes to get from LAX to Disneyland; it's been shorter & longer depending on traffic but that's definately the average for us. When we drive ourselves we seem to get there faster but the Super Shuttle may take about 40 minutes. It's really not a bad drive at all.
I really don't know what to suggest as far as spending money goes.
We are two adults with no children so I am sure what we bring could be vastly different than what you may spend in a day. That Allears page has restaurant menus so you can get a rough food budget from that. Spending money I'd say right around what you'd spend in WDW, similar merchandise but since it's your first time in DL you may buy more.
PS: I know you said you have A LOT of DVC points to spend. If they are developer points I say go for the best category you can get.
Developer Points have to be used by a certain time so it may be worth it to get your points worth.