Loved refers to that past, since it's in past tense.
Or often it refers to an idea that we all loved, but didn't happen/work. Actually, usually that's what it means.
This case it's a bit of a broad sentence, it could be either that the idea of "a puppy and a girl" growing together didn't happen, but they really loved that if it happened. Or it could be that the puppy and the girl already are older, and they were mentioning the good experiences from the past of watching them grow together.
The above are the two most probable possibilities of what this sentence could mean.
To be honest, this sentence isn't super grammatical... There are definitely different ways to express his/her sentence.
The word you are asking about is aye.
Merriam-Webster provides this definition:
Definition of aye (Entry 1 of 3)
: YES
aye, aye, sir
Wiktionary adds this:
aye aye, sir
(idiomatic, nautical) The correct and seamanlike reply, onboard a Royal Navy (or US Navy) ship, on receipt of an order from someone of senior rank or authority. It means "I understand the command and hasten to comply with the order."
This sense is commonly used in English-speaking navies and films about space ships. It is also common among inhabitants of northern Britain. The character Chief Engineer Lt. Commander Scott on Star Trek frequently said aye or aye, Captain when responding affirmatively to questions. This was intended to reflect both the naval influence and his Scottish ancestry.
Variations on aye aye, sir are often used humorously in friendly conversation.
The following is another Merriam-Webster definition:
Definition of aye (Entry 2 of 3)
: an affirmative vote or voter
the ayes have it
This usage is common in the British Parliament and in the United States Senate and House of Representatives when matters are put to a voice vote. Ross is using aye this way, and he uses favor in the first sense that you have provided. The chairperson of a body that follows parliamentary procedure (including committees of many types) will say, All those in favor say 'aye' when a proposal is to be voted upon.
It's important to note that Ross is playing with words. The humor depends on the fact that aye, eye, and I sound exactly alike.
Best Answer
Song lyrics are often complex, because (like poetry) they try to evoke emotion with layered meanings.
First, let's look at "getting me high, and making me low". To "get high" means to reach a state of euphoria or bliss, often through the use of drugs. Conversely, to be "low" means to be depressed, dejected, or diminished. In context, it means "that blue" is creating both positive and negative emotions.
Blue is ambiguous here. It could refer to her eye color, and he could be so struck by her beauty that he is moved to these emotions. However, it's also worth noting that "blue" is also a common way to refer to sadness, so it's possible he is reacting to her emotions. He could also be referring to his own emotions in reaction to her eyes.
As I said, ambiguous.