Hi Wannabe SE,
I have attached the pic from ASCE 7-10 indicates the lower story connection doesn't need to be designed with Omega. it shows BEAM shear connections to post and tie-down anchor are all designed with Standard load...
I have a soft story upgrade project (wood framing) including the in plane shear wall offset design. Based on ASCE7-10 3rd print, it indicates I don't have to design the connections with overstrength factor, but for sure the BEAM and column need to be designed with overstrength factor. However...