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Hey, I'm from that hippie area (originally). In what town did you buy it?
I had an idea to shorten the dress if you wanted to. If it were straight at that point, not flaring out, you could take a tuck on the inside, and sew along the seam of the band. That would shorten it a little, and keep the band. If it flares, you could remove the band, shorten it, and reattach the band. The second idea would be a lot more work, though.
Thanks JAileen, I bought the dress in Point Reyes Station at the clothing store in the Creamery. We really like to visit that area of CA, it's so beautiful. Thanks for ideas on how to fix the dress but it's a really odd bell shape made of competing fabrics and beyond my sewing skills. I've decided it's quirkiness is part of it's charm so I've decided to leave it as is.