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I have over 300 apps installed on the N7 and they all ran under 4.4.4 with ART runtime enabled. In the weeks since I got the 5.0 update I still haven't found any apps that don't run. Many (most?) are from Amazon so not updated in any way either (I'm not saying the devs haven't released updates in Amazon, I just haven't applied them).
At several thousand feet, the difference between the dalvik and ART runtimes is that dalvik compiled the app for the hardware it was running on at execution where ART compiles it at installation (or first run, I'm not sure) and stores the hardware specific compilation. What is actually executed doesn't change. At least that's the way I understand it.