Option #1 would be correct.
The tap on the manifold was intended for vac wipers...
As for air cleaners, if you were to switch to some Ford Holley 1bbls from a 223, then you would have plenty of clearance as they are nearly half as tall...
It's my understanding that if you use the thick base gasket and no heat spacer, those cheap 4" chrome cleaners should fit.
Thare is a 1960 car in the area around here that made some air cleaners that hung off the side, similar to what the factory did for some years. Didn't look like they would help with performance, but at least they fit.
