Just guessing here, but in light of the fact that the LS1 and LS6 engines use the coil to plug system, I don't think an Opti-Spark system is utilized. The primary circuit is probably timed from the crank, and ECM directly. Since I don't have a manual, that is just off the top of my head... for what it's worth.
Nope- No opti-spark to take a bath when the water pump leaks. The Gen III (LS1 based) v-8's use a coil-near-plug ignition systems which have individual coils for each cylinder, versus a single coil and opti-spark(a glorified distributor) on the LT-1's. Like vettepilot said, the coils are controlled by the PCM with input from the crank and cam sensors.
The ignition system on the C-5 has proven to be WAY more reliable than previous versions.