This is how I interpret 1609.1.2:
1. Calculate your MWFRS loads as you normally would. This is based on ASCE 7 and for MWFRS includes wall and roof loads. These loads produce axial, shear and moments in your building elements. This is W which is included in the load combinations specified in Chapter 16.
2. 1609.1.2 then says that, despite what you get in item 1 above, you still need to calculate axial, shear and moments for elements using a 10 psf LATERAL load on the projected area. No vertical loads area specified here. If this 10 psf does not produce higher axial, shear and moments, then OK...otherwise this is a contributing load case that must be considered. It is a load case W to be included in the load combinations of Chapter 16.
3. For components and cladding, you would calculate the required wind pressures for your various elements of your structure and compare these pressures with +/- 10 psf. In this case, 10 psf is simply a minimum pressure - so use the ASCE 7 C&C pressures or 10 psf whichever is greater.