The one thing I'd be careful about Headrich is "the memorization syndrome". By that I mean, students shouldn't if possible, be encouraged to remember passages. It should be about "meaning" and getting the main point and MOST importantly, remixing that story/passage into their own brain and map of the world. So I'd go with reading response for this sort of thing. Have them respond to the passage, respond in their own way.
Ask questions like these ones below.... Also, retelling in their own words. Just simple sentences highlighting the main ideas.
Your ideas are a great start! It gets them interacting with the text and in a fun way (like the running dictation). But it has to go further to say you are "teaching" the text (which really suggests they are "learning" the text). Fantastic ideas for teachers!