I just want to follow up on this because it is still the first result for me on Google when I search for "RetroPie Power Pad."
lr-mesen and lr-fceumm both support all of these games now. lr-mesen assigns the 12 buttons to joypad buttons, while lr-fceumm assigns them to keyboard keys from RetroArch's RETRO_DEVICE_KEYBOARD type.
I am using two generic USB dance pads side by side. They are recognized as controllers, and I find it easier to map the buttons in lr-fceumm for my specific setup.
lr-fceumm allows the Power Pad to be assigned to ports 2 and 3 natively, and the user can use the Quick Menu -> Options -> Controls menu to set the appropriate RETROK keys to each physical button (you go to the physical button in the list for the port that you want to map, and you scroll left/right until you find the right keyboard key).
The Family Trainer is a Famicom Expansion Port device and is therefore available for port 5. RetroArch's "map to port" feature allows the user to duplicate port 5's functionality on another port, so two dance pads can be combined this way.
I know that all of the North American Power Pad games work fine with lr-fceumm. Just make sure you have the correct Power Pad side mapped! The buttons will be mirrored if you use the wrong side (it's the equivalent of flipping the mat upside down).
I know for sure that Family Trainer 5 (Meiro Daisakusen) and 8 (Takeshi's Castle) work fine (even the English-patched version of 8). The other eight Family Trainer games should also work fine. Here's hoping someone is interested in tackling an English translation for 9 (Takeshi's Castle 2)!