Thanks for the input!
The reason we looked at the flatbar was because the crowbar limits how close we can move the controls towards the center.
The LBS guy said he brought them in as much as he could, but that they could stand to come in a bit more for her to be properly positioned as far as hand placement versus shoulder width.
The idea of the steeper angled/adjustable stem is the way to go I think.
Bontrager makes a 17 degree stem as opposed to her existing 10 degree.
I'll check other makes as well.
The reasoning that most people never see trails on their MTB is a sound one, as I'm sure it's probably the case in many instances.
... just not this one.
As you can see... we enjoy going offroad.