I saw a topic a while back talking about in-combat vs out magic regeneration. Does anyone happen to know if the Restoration "Recovery" perks affect in combat regen? Thanks.

Yes and in fact not much else does

Source? The community is in need of cited testing by players or official Bethesda confirmation (which is probably harder to get) about regen. I've heard enough times on these forums that regen is reduced to a third of its effectiveness when in combat, but I don't want to take that just on faith,