Luckily, I have an '05 model, and yes the fan does keep running. With the Dallas weather now reaching 90's to close to 100, I am running my AC constantly now. When we were in the 80's I could live without it. I know my next milage entry will not be good, because with the temp in the 90's on the weekends my wife insists on me not using economy mode.
But this talk reminded me of my 1980 Toyota Corolla. I'd turn the A/C on, but whenever I stopped in traffic, or a a light, the compressor would stop working and the fan would just blow hot air. Needless to say, that made me very unpopular with my carpool in the hot summer of '80! I always thought it was because the 4-cylinder engine in that car was not all that powerful, and it just couldn't pull the load while standing still. But I really loved that car...

drove it 9 years before I traded it in on an '89 Corolla.
Let's hope I get to keep my '05 HCH that long (but the '06 HCH sounds intrigueing.