Yes, when you compile your project with WICED 6.1, the new CYW20706A2 Firmware will be utilized. The latest firmware has the fixed mentioned in the releases notes.
You can consider the FW as the library that is utilized when you compile your code. This is downloaded along with your application through WICED. If you want the devices in the fields to have the fix, then yes, you will have to perform an OTA with the new hex.
I assume you are referring to the external FLASH when you say ROM.
In our design the 20706 is not connected to an external flash, and the host downloads the .hcd firmware on every power cycle.
I just want to make sure compiling and generating a new .hcd under 6.1 is all that's required. I'm hoping the ROM that's flashed when the chip is manufactured does not have to be reflashed ever, and is only patched by the .hcd when it's loaded to the chip's RAM.
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Perfect. The new hcd that's generated under WICED 6.1 is all that is required. The ROM is patched by the hcd when its loaded into RAM.