I am sorry about the situation you are currently in.
AFAIK, since your I140 is revoked in 2008 and your current 485 is denied, I think you cannot renew your H1 because you have already crossed the 6 yr limit. Try for a new H1 from your current employer (Local Govt) and USCIS might also approve it beause there are no middle vendors involved.
NOTE : I am not a lawyer so please take a legal advice.
Good Luck!