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If your lavender is still green-blue, it is not dormant and needs water. In the cooler months, you may be able to water once weekly when there is no rain. If there is no growth and the leaves turn a dull whitish-grey color, the plant is dormant. It does not need additional water at this point. Pruning when the plant is not dormant triggers new growth which will die out if not watered. Here is some info specific to your area:
http://homeguides.sfgate.com/care-lavender-plants-winter-34713.html

I would recommend storing them in the basement, and would also recommend a horticultural light to sustain them. A good t5 fixture will be sufficient. Here is an article that will help: https://www.gardeningknowhow.com/edible/herbs/lavender/lavender-in-the-garden-information-and-growing-lavender-tips.htm

The best time to plant would be in early spring. I'm afraid that they will not have enough time to become established at this time. Here is an article on their care: https://www.gardeningknowhow.com/edible/herbs/lavender/lavender-in-the-garden-information-and-growing-lavender-tips.htm

I would wait until spring to transplant them. I fear that they wouldn't have time to get well established before going dormant. They can live inside, as long as you keep them in a sunny window. Here is an article on their care: https://www.gardeningknowhow.com/edible/herbs/lavender/lavender-in-the-garden-information-and-growing-lavender-tips.htm

Hello,

Thank you for sending us your gardening question. Lavender appreciates hot, dry areas and needs well draining soil. If you have clay soil, your lavender may not be draining well enough. You may wish to amend your soil to make it more hospitable to your lavender.

Here are a couple of articles you might find helpful:

https://www.gardeningknowhow.com/edible/herbs/lavender/lavender-in-the-garden-information-and-growing-lavender-tips.htm

https://www.gardeningknowhow.com/garden-how-to/soil-fertilizers/how-to-improve-clay-soil.htm

Please let us know if you have any other gardening questions and happy gardening!

Thanks
Gardening Know How

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Each lavender flower is so small that it can be hard to tell. I go buy color; the spent blooms are slightly darker (and a little ratty at the edges). Also, pollinators do not visit spent blooms. On the other hand, there is no need to dead-head until the entire flush of spring blooms is over. Pruning or cutting into firm, woody parts of a plant is better done in very early spring.