Simply update or install the latest version of Joomla! on top.
Backup but do NOT uninstall anything before updating.

As simple as that sounds, I feel like I will mess something up. I've done Joomla Updates and it hasn't restored the templates at all. If I do a manual update (I'm assuming) that's just copying the newer files onto the server right?

Not really, grab the latest package from joomla.org and install it from the extensions manager.
Then browse the /templates folder to see if system and protostar are there.

PS. Backup first

ok ill give it a shot real quick

Well that didn't work. I reinstalled but it didn't add the templates. I other ideas? And I appreciate your help I know this isn't support for Joomla.

Ok I forgot I had this template installed for another site. And it seems to be working on there no problems:

www.detroitproms.com/index.php/galleries/recent-gallery-updates/item/193-prom-shoot-for-xavier?tp=1&templateStyle=126

So now the question is whats wrong with my first site? I still haven't been able to install the default templates btw. It seems like they would make this easier. Is it anywhere those templates are located as a standalone file where I can just install the template like I do others? That you know of?

The site is offline, but I take your word for it.
Try reinstalling K2 2.6.9 just in case some language strings were missing.
Alternatively check to see if the other site is using a more recent version of the template.