The ring ridge is carbon. You should have cut that out before you removed the pistons. It has nothing to do with deciding whether or not to bore.
For basics, the shop should "hot tank" the block (and head) to remove all grease and crud. They should "rifle brush" the oil passages to clean those out. Then comes the checking.
Check the cylinder bores for both out-of-round (egg shaped) and taper (worn more at the top or bottom than at the other end). If they find either condition, the cylinders need to be bored and you'll need oversized pistons. Also, if any cylinder walls are scored deep enough that honing won't remove it, they need to bore. Then they should check the head surface to ensure that it's completely flat. If it isn't, it has to be shaved to restore flatness. Whether or not they bore the cylinders, the last step is to hone the cylinder walls to a fine, diagonal cross-hatch pattern to help the rings seat in more quickly.
Crankshaft: Sounds like you were saying the bearings were scored, not the crank itself. The shop should check the journals for roundness and for scoring. If there's slight scoring, they might be able to polish it out. If any journals are out of round, or if there's deep scoring, the crank needs to be reground to a smaller diameter (0.010" undersized). Be sure to specify that the shop should clean out the oil passges in the crank after they work on it. This should not have to be specified, but a friend of mine rebuilt and engine that chewed itself up in 500 miles. Turns out the passes in the crank were full of grinding abrasive, which ate the bearings. The shop claimed my friend (a professional mechanic for over 50 years and a race driver who built his own engines) "should have known" to clean out the passages.
Head: Check the surface that mates to the block for flatness. If it isn't flat, it has to be milled to make it flat. Check valve guides for diameter. If they are slightly worn they can be knurled to restore clearance. If more worn, they can be drilled out and new guides installed. Then the valve seats need to be ground, and the valves should be ground to match the seats.
In disassembling the engine, I hope you kept the bearing caps in order and facing the same way they were installed in the engine. They MUST go back the same way. Unless you're getting new valves, you're also supposed to keep the valves in the same locations, but if you're doing a valve job and getting the guides reworked that isn't as critical.
