Given your operational parameters, IMO, the practical solution is Option 1, except the disc brakes. I don't see that as big money well spent for the following reasons- 1- You won't see much gain in stopping power/distance with discs (as per some testing I participated in). There are improvement in fade resistance with discs, which can be narrowed with a better selection of shoes for the drums, but the properly sized discs win every time. But... a Scout is not a formula car and the front is doing 60% (or more ) of the work so for most people, fade isn't an issue. 2- Parking brake situation is complicated. 3- You gain a little in water resistance (eg brakes working when wet) with discs, but if water isn't a big part of your wheeling landscape, and/or you know how to deal with wet drums, I don't see the advantage being a big one. Lots of liquified mud can be a problem, but that's a problem for discs too, albeit less of one. Did some swamp wheeling in Florida... OMG... and on top of it all, frigging leeches- LEECHES! 4- Bottom line, while you can objectively say discs are "better," the dollar/benefit ratio is not good for most of us, IMO. If you had bigger tires, maybe, but 35s are well within the stock brakes safety factor, especially if you put on top-grade shoes.