1. I recently demoted one of my mods back down to normal member position but he can still see the Moderator forum. I saw his name inside one of the threads.

 

Yet I checked his usergroups and neither of his groups can actually have access to that forum.

2. All members see a link to the moderator CP regardless if they are staff or not. Only staff can actually see what is in Moderator cp but how can I stop them all from seeing it? What is causing this.

Have you look at the "second" group on that member?? 
http://prntscr.com/6flesd

the second im not sure

 

Have you look at the "second" group on that member?? 
http://prntscr.com/6flesd

the second im not sure

 

AH I figured the first one out...I forgot I had overridden his member group permissions with the admin set. Which is why he was able to see the staff forum still despite being a member.
Thanks though!

Now if only I can figure out the 2nd one.​

 

Make sure the member groups are not showing up under the staff sectipn