When the Confederate troops reached Santa Fe, they did not engage in the actions mentioned in the options provided. Instead, the correct course of action taken by the Confederate troops upon reaching Santa Fe was not one of the given options.
It's important to understand that during the American Civil War, Confederate troops did not reach Santa Fe as it was located in the western territory and was not a significant target for Confederate forces. Santa Fe, being part of the New Mexico Territory, remained under Union control during the Civil War.
Therefore, the Confederate troops did not burn Fort Union, distribute rations to those who surrendered, capture the people of Santa Fe and march them south, or destroy all remaining supplies upon reaching Santa Fe.