Welcome to the Q&A Forum

I think that basic on page seo needs to be followed. Meaning that you should have one h1 on the page and above the fold. That will signal to google the importance of that phrase. The rest should be h2 and h3 but used sparingly. This will give google something to compare the h1 to. I know some sites make the mistake of putting all there keywords on the main page in h1, that doesn't work and hurts the site in rankings. I'm not sure what your programmers thinking is, maybe he has knowledge that I don't have which is very possible but from my experience and constant reading of seo best practices h1 implemented correctly helps.

I think one hyphen in a domain is not too bad, especially if its a .com...it only looks really bad whens its buy-cheap-viagra-online.info. It's very unlikely to affect ranking.