I was reluctant to follow Chris Tate's suggestion to peel the exterior skin and simply dry the core directly. I was concerned about all the fairing that would come with that approach. Well I am over that now. Glassing and then fairing is way easier than replacing core and then glassing and fairing. It is also reatively fast. I can score the skin, shear it off with the impact chisel, clean up the end grain balsa and just start drying it. Without any skin on the balsa it can be dried from crazy soggy to dry in about 1-1/2 hours with the Mr. Heater and that is also checking the hull from the inside to make sure it is dry too. So this is pretty manageable.
The cleaned up end grain balsa is pretty fair as a starting point for the glass work. There are some areas that still have to be recored, but I've sorted that out pretty well already by simply using some chunks of core a little larger than the area to be replaced, marking that with a Sharpie and then just using an actual sharp wood chisel to shave bits off and away. Then just insert the new core section and move on.
I have been a little surprised at how well the balsa dries and it even firms up really well (even in areas that were squishy like a sponge). I can get the balsa to read almost the same as the new Divinycell with my meter and that is after checking the next day.
I scored the glass into about 4" x 4" squares with the angle grinder and an abrasive blade. This size make shearing the skin with the impact chisel pretty easy. There is still a bit of chopped strand mat to clean up with the 36 grit, but that also goes quickly.
Once the end grain looks clean I use the meter again to put the readings back on the balsa and apply the heat. Then what I have seen is that some small areas don't want to dry, so I clean the end grain up again with the 36 grit and reapply the heat.
Prior to doing any new glass I plan to fill in any divots and will check the surface with a fairing stick and will fill and fair as needed to give the new glass a good starting point. New glass will be going all the way to the waterline, even where the skin was not removed.
This adventure is now back on track.