If the First can’t touch people, how did Dru touch Spike’s face at the end of Lessons, it’s even in the script that she touches him. A fake Buffy also touches Spike’s face in another episode. What’s up with that?
I figure if the First can trick your eyes, it can trick your other four senses as well. It may not have a body to touch with, but you can feel its touch nonetheless. Since Spike felt himself be touched by “Dru” and “Buffy,” we see that action.
His breath might not have anything to do with being able to do CPR. We know he breathes—that is, his lungs go through the motions—but we also know he does not need oxygen. Perhaps he exhales greenhouse gases? 