A: Short answer is yes. The issue is not so much the time nexus between the video and the crime, its the reliability of the evidence. Is the facial recognition software reliable? Does it make mistakes? What is the error rate? Is an expert going to testify about the reliability? How is the software being used? How does it prove the crime? Its likely only one piece of evidence in the case, but how it's used and how it helped in the investigation is the issue.
A: It sounds like they might be trying to get as much as possible up front, perhaps even agreements from you, that they know they won't get at trial. Figure out what you are willing to do up front in hopes of having the charges dropped and don't let them push you past that point. Set it for trial as soon as possible.