Can't offset curves
It looks like a lot of your sketch lines aren't actually connected/constrained to each other (see below, I was able to click and drag these out of place). The "blue" lines also indicate that the lines aren't fully constrained in the sketch space.
Start out by taking a look through your sketch and see if you can work out how to fully connect/constrain your lines, and this should gradually resolve your issue.
Edit: You also have sketch lines overlapping each other, which I'm assuming aren't necessarily by design. Fixing/eliminating these unnecessary overlaps will aid you in fully constraining the sketch as well.
You will not be able to Offset this sketch by .125" to the outside because the inside radii are to tight. The offset curves inside of these arcs would disappear.
John Hackney, Retired
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