Yes, the map will be entirely reset, along with all balances.
Everything below is what we have discussed and planned on doing, so it is possible that things will change. Nothing is set in stone. But here's what we have planned:
Job levels will be reset as well, although your masteries will be saved.
McMMO stats will either be reduced, or they will stay the same. There will probably be some modifications to the system itself, so stay tuned for more information on that. Long-term inactive players' stats will probably drop a bit, so that players have to continue working (or at least keep active) to maintain their high levels.
Players that donated will keep their donator ranks, but there may be some new perks added since we've adopted a few new plugins.
Regular player ranks will remain the same unless plans change.
Faith stats have not been decided yet.
Mob kills and other stats will be both saved and reset. Players will probably be able to view their long-term stats from even before the reset, as well as new stats that started after the reset.
There is a little more information on the reset here: http://www.runic-paradise.com/forums/viewtopic.php?f=13&p=7195#p7195