When was the last time those belts were changed? Might not hurt to do that. I know mine squeals pretty bad when rain gets on the pulleys if I have the air on. I've never had the problem with my Stealth, it's weird.
As far as the water, check your door gaskets?
My Galant does the mildew no-air thing too... still haven't figured it out, just run my air all the time anyway.
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