When you refer to the latch/release mechanism I will assume you are talking about the bottom ones, that fit in just behind the seats. You shouldn't have to drill out the pins. I removed mine last fall and used a hammer to tap on one side (the centre part). One came out easily and the other I had to spray with lubricant for a day or two to get it to move. Replacements can be had a Bud's Benz for $99 per side, You can see what you get on their web site.
Can't comment on the paint aspect as I haven't done it.