Thanks for the reply. It was driven a couple of years here in minnesota, but is now a strictly summer vehicle so I hope I can save it. Wish i hadn't driven it at all in winter but it was my only vehicle at the time.
The inside of those holes have the usual rust flakes, and the bottom inch inside the frame by the skid plate where the water sat is rusty, but the rest of the frame still has the cheap black paint inside, so I don't think it's too bad yet, I'm just concerned about the structural integrity of the frame at that bend on each side.
Was thinking of an oval reinforcement plate with additionaly welded holes on each end kinda like this super awesome ms paint drawing: