Hi Jenni --
Congrats to the happy couple! What a great time you'll all have celebrating and getting to know his family and vice versa.
Onto the dress. I'm supporting your first instinct...not the right one even with the sleeves tailored. I do like the shades in the flowers against your complexion, though, so I see the appeal.
However, special occasion dresses are often worn once, and deserve to be something you'd *like* to wear more often!
I wish I had more ideas for where to look. I'd focus on warm-weather cocktail or evening wear and see if anything you truly love pops up.
[Do you have any bridal-centric resale shops there? Here they often carry some MOB/G and bridesmaid dresses and you can get gorgeous high-end dresses for a nice bargain.]