I'm going to echo what other's said, the squirrel effect with the spell failure definitely belongs in the bad category, not neutral. And maybe I'm worrying over nothing, but the res and instakill surge sounds like safeguards will be required implementing it to make sure it doesn't break quest progression.
Aside from that, I don't have time to hop onto lamannia right now, so could someone that does make list of what all counts as spells for triggering surges? I assume that eldritch blasts will, but was wondering about a few other things like rune arm blasts, ki abilities, finishing moves especially when modified by the enhancements that add the rider effects on the philosophy finishers, turn undead especially when modified by domains, ED abilities like primal scream, caster mantle procs (and if so shared mantles on hirelings), summoned creatures that cast spells, druid animal form spells like shred, the wolf breath weapons, etc, and dragonmarks.