Homebound, thanks for the feedback. I cut holes along the one wall every 10 inches just below where the baseboard would cover them. The drywall is damp (not soaked, but definitely damp)but the insulation thus far is dry (thank god). Going to continue along the other walls and get some more heat and fans on them. There was a "Watchdog" back-up to the main system. The thing that really irks the $(*&%(&! out of me is that we DID NOT lose power. The main unit must have failed and the friggin Watchdog never alarmed (not even sure if it engaged or not). Our house is 10 years old and it was already installed when we bought the place 10 years ago so I have no re-course with them. The seepage was a result of the drain tiles filling and not being emptied because the sump wasn't doing it's job. (wasn't cascading down the walls or anything). We had about 12 inches of snow that melted overnight with 50 degree weather and then rain on top of it. Annoyed at myself for not recognizing that the sump wasn't going, though because the rain started after the massive melt off I just never thought about it. I have back-up insurance and will call the agent tomorrow. I'd rather bounce a few things off him than go the "800#" route so that he can coach me on what to say, etc. before having anything logged. I took pictures of the mess so they can review them. Just grateful at this point that it doesnt appear that I'll need to cut the lower portion of the walls completely out. The watchdog is lit up like a Christmas tree right now. Not sure what the deal is. I replaced the main sump and will get a replacement back-up next week. I tried taking the watchdog piggy back off the main unit and plugging it directly into the outlet and still no luck. So much for "if it ain't broke, don't fix it". I thought about replacing the units this fall at the 10 year mark and never pulled the trigger.

Update: Last night, shut off valve fixed. I cut 2 small holes (enough to get my head and an arm in) in the ceiling in the basement and a smaller one in the wall. The first hole in the ceiling was in the floor space where the 2 recess lights are that the water was pouring out of. Sheet rock was completely dry, couldn't feel any dampness at all. Second hole in the ceiling was directly below the toilet and it was slightly damp but not bad at all. Have a fan up there now blowing. Smaller hole in wall toward the of the ceiling, no dampness and insulation dry. I honestly don't get it. Could it be that it was because it was such a short period of time that the water ran and it had a place to escape that it doesn't seem wet? Maybe it's because the other end of each of these spaces goes into my unfinished storage room which also gave the water another place to go? I have fans in there as well blowing up into the spaces now. It appears that I've caught a break (unless I'm missing something?)

You can use vinyl flooring, rubber flooring or ceramic tile flooring, depending on your budget.

Vinyl tiles are not going to "rot" from water exposure. It is possible that the flood may interfere with the adhesive and some of the tiles may become loose...but that may not even happen. Right now I would get it dried out: a large exhaust fan would help. Once it's dried out, you can see if there really are any problems. but don't undertake unnecessary actions now.