> Q:  Is there a sigificant performance impact proxying all web 
> traffic through a HW LB twice for each page hit?

Not in my experience, although this seems quite counterintuitive (to me at
least).

> What also concerns me is the single point of failure our load 
> balancer creates for us if IT was to go down.  I don't know 
> if there is an easy way around that though.

Unless you're willing to spend a lot of money, you will almost always have a
single point of failure somewhere. Load balancers are generally pretty
reliable and stable, though.

Dave Watts, CTO, Fig Leaf Software
http://www.figleaf.com/

Fig Leaf Software provides the highest caliber vendor-authorized
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Chicago, Baltimore, Northern Virginia, or on-site at your location.
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