The solutions become a lot easier if you have an english threaded bottom bracket. If you don't, veto orange sells a decent french threaded bottom bracket. The best long term solution, I think, is to go for a triple like this sugino xd 600, Sugino XD600 Cranksets - Modern Bike

It's a fine crank. A compact crank with help with hills but a 14-16 tooth jump (say a 50-34) doesn't work so well with only 7 on the back. Plus by going with a triple up front, you don't need a huge freewheel on the rear which means your gearing will be better.

Chain line can be a bit of a hassle when installing a triple on a racing bike but I've managed to make it work well on more than one bike before. I'm running a triple on my bridgestone RB-1.

My point is that if you like the bike (and the PKN 10 is a great bike), do the job right once and you won't have to tweak it later again. There are some serious (and beautiful climbs) in AZ (and New Mexico) so think triple crankset.