Still no word from my brother about the Halloween II deleted scenes but he's probably at work.
I did a quick youtube search for the Halloween: Resurrection 8mm footage and found this link.
http://www.youtube.com/watch?v=22sKuZMlgcg
I don't know if this is better or worse than the copy you have but I downloaded it and converted the footage to 1080p. As you can guess it looked pretty bad.
I then added some noise to hide the digital blocking and it started to look a bit better.
I then added some more filters to hide a few other imperfections and now it's at least watchable at 1080p.
I looks nothing like the original, I'm sure. Seeing as it's supposed to look like old worn out footage I figured that would be OK. If anyone wants to see the footage shoot me a PM.