Has anyone ever tried to keep your drill bits that you use for acrylics in the freezer until you need them. Part of my issue is with heat causing the hole to become frosted.
There's no real reason to chill the blanks, coolant, drills, etc to drill out the material. You won't get a crystal clear finish with a drill. The closest you could come to a clear inside with tooling is to do a finish pass with a boring bar.
Use good quality drills that are sharp. I use a variety of drills from DeWalt, Morse, Champion Brute, Norseman, some Swedish things that I can't pronounce or spell, etc. Good drills can be had for not all that much cash. I think I spend anywhere from $6.50/pc for the Champions to about $15/pc for the higher end Swedish drills. Once they dull, get a new one. I don't bother with a drill doctor or trying to save them. By the time they're no longer effective at cutting, I'll have made several dozen pens from them. They're a consumable, just like paper towels.
Peck drill the material to keep the flutes clear of swarf and use a lubricant. That will go a long way to controlling heat buildup. I personally use 3-in-1 oil on both acrylic and Alumilite whenever I am drilling out material. It washes off easily with warm soapy water.
Don't force your drills through the material. Let them do the work.
Despite all the precautions you take, you will still have to follow through with sanding and polishing the interior. I use 3M automotive wet sandpaper to clean up the interior. 600g, 1000g, 1500g, 2000g and plastic polish. I use meguirs plast-x and 3M Finish-It interchangeably depending on my mood.
Demonstrators take time and patience.