I am not able to have a .htaccess on my webdav server. Am I completely out of luck to use clean urls on my Drupal 7 install? If not, how do I go about this? I've read a ton of posts, but they all relate to .htaccess enabled.
You have to enable mod_rewrite in your server configuration to use Clean Urls. If you're unsure talk to your Server Administrator or ISP. I don't recommend a workaround. Mod_rewrite is widely used by various Drupal modules.