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The engine would not fit under the hood and you would loose everything a m35a2 is about...

They only have the gear ratio and torque advantage if you leave them stock. New gears and or taller tires uses up the torque fast. Keep at it and keep an eye out for a rally in your area. I think a close up at a rally would be the best thing for you. You might find someone that will let you...

You could remove the rear tandem driveshaft and the front driveshaft so only the driveshaft that goes from the transfercase to the front rear axle is hooked up, then swap only the tires on the front tandem and see how your truck deals with the hills. With small tires on the rear tandem you might...

Either way you go it will be expensive. Both are worth looking into. With the axle ratio change you will run in 4th close to what you are in 5th now. Keeping the smaller tires will help prevent excessive steering resistance. But once you comit there is little you can do to fine tune the top...