As to the leaves I have seen citrus put out bunches of them like that. As to the last photo I am unsure of what is growing on that branch. Is the branch dead? It kinda looks to me like a fungus or a moss but hopefully someone will be able to identify it.

The bunches of foliage look like a normal growth flush to me, my trees did the same thing this spring so I wouldn't worry about that. I agree with bacon that it looks like some sort of moss on the branches but I don't know if it is harmful or not, I would clean it off just for good measure.

An attack of mites at the time of flush can cause all your symptoms.

Thank you all for your comments. These "moss" like structures seems to be where new leaves are coming from. So I am thinking they are part of the plant and not mites or fungus. They are pretty hard to remove from the plant.

The "moss like structures" are stunted flush caused by the mite infestation.