I would have a hard time if I had to reapply. Freaking, I'm similarly drained. I'd almost rather give up and sell myself to corporate America than go through this again.
As for the rankings: grad school isn't like undergrad. While it's important to go to a school with a good reputation, US News rankings aren't a very good indicator of this reputation. Check out other sources too. In the Chronicle of Higher Education, there's a report on faculty productivity that turns some of the rankings around. University of Florida, for instance, ranks fiftieth on US News but jumps up to eighth in the Chronicle's report for English. The best way to find out a school's reputation is to ask around with profs and grad students. Even UC Riverside, which gets so much shit on here, has a strong English program that is respected by many faculty in the field. Sure, the name brands (Berkeley, Harvard, etc.) will always have an edge in rep, but there are lots of great schools that aren't given a accurate image by the US News.
I second Freaking's advice about an MA. I got my MA from a school that doesn't offer the PhD after a horrible GPA in undergrad. I've gotten into two of my top schools. A strong showing in an MA program, with lots of conferences and publications can jump start your app. As for transferring: do you think it would be likely for you to get into programs as a transfer after a year? What will have changed on paper that would make you look like a better candidate? If these questions don't have answers, you should go for the MA.