It takes YEARS for the closed cell foam to absorb the water. Technically, it will dry out, but it will also take years for it to dry out. (And that's assuming that it will never get wet again while drying out). Get rid of the foam and the guy saying it will dry. Remember that foam is called level flotation foam, meaning that if your boat sinks it will sink level but will stay afloat. (in theory) If it was me (and it was when I redid my V21) I would take out all the old foam, then do like someone (I think it was Spareparts) recommended here on the site and simply replace all the old foam with pool noodles cut to size to fit in the voids. They use closed cell foam, and as long as they are not exposed to UV sunlight will last a long, long time. and if you ever have to replace the foam again it's simply a matter of picking up the old and replacing it. Get them from the dollar store.
As far as the underdeck goes, just remove the old wood, and replace it with new plywood. (Cut the wood into parquet style rectangles and glue them onto the underside, then glass over the entire underdeck to permanently seal the wood.
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1987 V20 w/1987 150HP Yamaha on a Shoreland'r Trailer
1978 16.5 Airslot w/1996 120HP Force on a Four Winns trailer
1996 V21 w/1993 200HP Mercury on a Shoreline Trailer
All towed by a 5.7L Hemi Durango.
If God didn't have a purpose for us we wouldn't be here, so
Live simply, Love generously, Care deeply, Speak kindly.
(Leave the rest to God) 
Silence, in the face of evil, is itself evil. Not to speak is to speak, not to act is to act. God will not hold us guiltless.
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