Please explain 'wetting the battery'... I don't understand this term. I hose down my engine bay all the time, and my battery is just fine.

Yes, bypass valve works, and in a case like this they're of great value.

I just bought a suction gun to change my wife's tranny fluid (no drain plug). Might want to pick one up ($20 cdn.) and see if you can suck any water out through the plug holes? Other than that, I'd say put it in a garage, run a heater to get it good and hot, and a dehumidifier? Hopefully once it's dried out it'll start up.

Is it possible to 'bend' a Honda OEM rod? Or do they only break? Also, would the water be only in one cylinder, or multiple cylinders?