I'm kinda late but this thread is funny.
As stated by Joe who is an expert on the subject by far - not a good idea to keep them in water. Those flow-troll bait buckets, sold at walmart for like 7 bucks are perfect, keep them in there, give them a rinse every now and then (dunk in water, turn upside down to drain)..
Anyway though, all I every do is stick my hand in, grab an eel, if I got it good I stick the hook in, if it's not cooperating I drop it onto the deck, then I grab the eel with a rag. If you grab 'em right just behind the neck and are quick to get the hook in there there's no need for a rag and certainly there is never a need for a brillo pad!
Jon
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