Use a 1031 exchange to defer taxes and reinvest in more lucrative, cash flow-positive properties or diversify into passive investments like syndications.Pay Down Debt: With limited cash flow, focus on paying off the HELOC or smaller mortgages.

The house is in the city limits of Klamath Falls, Oregon.

Many cities don't allow drilling in the city limits, or have restrictions, but outside city limits and especially outside the metropolitan areas, there are fewer restrictions on drilling sites.

So it really limits your flexibility.

Please make sure your losses are not limited under PALs.This post does not create a CPA-Client relationship.

I worry about you putting too much of your life into one investment given you're limitations on income/working situation anyway.In general expensive primary residences do not make the best rental properties. 

Also, what benefit would you actually be able to contribute with your limited knowledge?

Quote from @Andrew Steffens: You may want to look into a limited service agreement - I offer this but currently in FL only. 

No UBIT on leveraged real estate.  10x higher annual contribution limits. 

It can also be very expensive and the limits are usually low.