Edit: Never mind. I'm a dumbass.

I just finally got around to trying out the Drag and Drop ARA MIDI converter thingie on a bass track. It seems to have detected all the notes/transients BUT it put them all at the same pitch. I know there is a percussion setting that might be causing this but I thought the drag drop would default to generating the actual tones.
 
Anyway, still poking around for some answers but nothing is popping up immediately so thought I'd ask if this is normal or if anyone can kick me in the right direction. Maybe there's a default setting somewhere I can access. Otherwise I'll just try it using the manual Region FX method.
 
Thanks.
 
Edit: Figured it out. You have to turn the audio clip into a Melodyne clip for it to work. I thought it was automatic.

Noel Borthwick [Cakewalk]
Dragging an audio clip to a MIDI track should convert to MIDI using ARA automatically. However the process is automatic, so if you need to tweak the melodyne settings then you should pre convert to a melodyne clip and then drag it.

Yup. It did indeed convert it to MIDI... just all the notes were on one row in the PRV. However after screwing around with Melodyne for the past hour or so every time I create a Melodyne clip it defaults to the percussion algo so perhaps if I could figure out how to change that setting it would work automagically. It really doesn't take much longer to do it this way though so no bigs.
 
Cheers, Noel.

But I think you do need to enable polyphonic mode, or it will assume a "rhythm" track.  I don't recall off the top of my head how to do it, but I know there is a setting somewhere.

in the menu where you select the algo there should be "Set Default, then another menu pops out from that and you can choose.