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Maybe I have completely missed a process in MLCad, but here is my question:

When placing multiple models into one file, is there a way to make it so that all of the parts of each model show in the final MPD vs just the sub-models? Or is the only way to have just the submodels show with no individual parts listed.

As far as i remember only the first model in a mpd file is shown in the referenced model. So a line like
"1 0 0 0 1 0 0 0 1 0 0 0 1 set20.mpd"
will only show the first file out of the set20.mpd file.
There is no chance to reference to other submodels in a mpd file.

I hope this answers your question.