1) It's an invasion themed expansion. Just be the Dovahkiin and handle your business. It's no worse than the random Dragon attacks, and they're easier to hit seeing as how they don't fly. Just punk them (or lets the city guards do it for you), and then tea-bag them and move on.
2) You can delete and re-download content as many times as you want. You've already paid for it, so it's tied to your GT now.