That limit has been in place for a while, but yes, prices have recently increased. The $35 limit is just for the entrée, not the meal.
When we were on the Bliss last month we were told we could order anything for an entrée except for the upcharge items (like the Tomahawk/Surf and Turf, etc.). My wife and I both had entrees over $35 and were not charged.
Of course this might differ by ship...