If it were me, I would (1) clean it up, and (2) add a black Blackburn pannier rack, front and rear safety lights, a bell, black Planet Bike fenders, and Panaracer Cross-town tires with reflective side walls, to make it an all 'round /gen'l purpose utility bike.

I think a black and green motif would be much better than adding brown or cream Schwalbes.

I would not repaint it and would keep the original bars and running gear.