Sharing from my iMac to my iPad and MacBook Pro has been okay for 24 hours now. Here's the configuration:
Firewall is OFF
Preferences --> Sharing:
Screen sharing, Scanner Sharing, Web Sharing and Internet Sharing are checked.
WiFi Options: Security is set to NONE. (to do this: uncheck Internet Sharing, you should have "Share your connection from:" then select how you connect (I connect with ethernet to a cable modem) "To computers using:" check WiFi. Then click on WiFi Options, and for security select None. (I think it's None - frankly I'm afraid to touch anything) - anyway, just make sure there is no security on your sharing.
Network preferences still shows self-assigned ip for the WiFi, but now I understand that the WiFi is a separate function from Sharing.
At one point last night, I did have to restart my iPad to make it connect. I was getting a weird chain link icon in the upper left of the screen (where the wifi connection should be)
The sense I got from the Senior Advisor is that they know there is a problem and they are addressing it. How long it will take is another story. He also said that they are not going to leave us with our Internet Sharing unsecure, so they are working on this.
I really hope this helps somebody.