Borderlands 2 ambient occlusion

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I even disabled the black outlining in the game and that barely worked. I even tried 'AllowD3D11=True', but that only worked a little bit. I have my Nvidia control panel settings set to 'maximum performance' and windows is set to 'High performance' as well with Windows Aero turned off. I shouldn't be getting frame drops in this game and i've already tried turning off Dynamic Shadows, bSmoothedFramerate, Distortion off, and more. I also play with PhysX at low since that's sadly unoptimized despite how good it makes the game look, and with smoothed 22-62 fps with a 60Hz monitor at 1920x1080. I play with everything maxed except for Foliage, Ambient Occlusion, and Draw Distance at high (lower makes no difference).

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I drop in areas like Overlook, the fountain in Sanctuary, and in high combat. XFX TS 550W 80+ Bronze Certified ATX Power Supply