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Does its +D3 to combat resolution replace the +1 for being a standard or is added to it?
Usually magic banners which add to your combat res stack on top of the +1 for having a banner. This one should be the same unless it states otherwise, I don't have the army book to hand.
A good example is the War Banner. What would be the point in paying extra points for it if its +1 simply replaced the +1 for having a banner? Your points would be wasted.
Thou shalt remember:
Warhammer Fantasy armies do NOT have Codices. They have Army Books.
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