In very slow flight without flaps my 1-35 drops into a stall long
before it gets as bad as a tow does at 60 statute mph. You would
think that I would have stalled out of the tow too. Perhaps the
wallowing around on tow is just the turbulent air on the ailerons and
not an imminent stall at all. (Think rotor in wave or turbulence
behind a hill on a smaller scale)

Are there any reports of incidents where a glider drops into a stall
on a slow tow or are there just complaints of glider pilot annoyance?
(I agree it's not fun)

For example, if the air turbulence was going "down" on the right side
just when you try to bank "left" that would make the controls feel
sluggish. At some angle of bank, assuming that everything else was
symmetrical, the two ailerons would be in different parts of the
turbulence, confusing the situation.

Has anyone tried some flaps in an integrated flap machine (which
reduces stall speed) to see if the wallowing goes away?

Unfortunately, my trailer is in a snowbank.