That would have to be your call in my opinion. Again, I hate to spend someone else's money, if they don't have to. Sleeve set kits are in the neighborhood of $300.00+. Some kits are oversized to 3-1/4" bore giving you a little more power. I lucked out last year, and picked up a 3-1/4 bore sleeve/piston set on epay for $189.00.
If you do decide to go that route, might as well mic. the crank.
I have made my own puller from a piece if 5" channel for on top, and a 3/8" round disc for the bottom, and some grade 5 all thread. I've also just knocked them out. flipping the engine upside down on the engine stand. A good oak 4X4 long enough to clear the skirt of the bottom of the block, a 1" piece of oak cut to fit laid across the bottom of the sleeve, and a 4 lb. hammer. Several good licks, and they pop out.
Not sure what they use anymore to lube the sleeve seals, but we just always used Vasoline. Never had any problems over the years.
I am curious if there was any coolant left in the block. Sure seemed like an awful lot of water to go down around the rings. Be sure and check the webbing at the bottom of where the sleeves seal too. I have seen them crack there too. I'm sure not trying to get you down... Just want you to take a real good look, before ordering more stuff.
Be sure and flush the oil pump real well too..!!