In my opinion, the school board should use the money for after-school clubs.
I have two children in high school. Me and my wife both work until 5 o'clock, so after school our kids are alone at home. Usually they just play video games or use phone for many hours. If there is free clubs and tutoring, they can do something more useful, like sports, music or homework with help from teacher.
Tutoring is very important for students who have problem in some subjects. My son is weak in math, but private tutor is too expensive for us, it costs $50 for one hour. If the school gives free tutoring, it will help a lot of families like us.
About option A, I know teenagers like to sleep late. But if the school starts later, it also finishes later. Then they have less time after school for activities or part-time job.
So I choose option B, because it help students and also parents.