You can lose some of that 31 lbs of bike weight by installing Kinesis aluminum fork, 1.25" slick tires, racing saddle and a double crankset. The double-butted frame of the Sedona is good, but you'll like it more if you can gradually replace heavier components with lighter.
I also am just barely touching my handlebar with my fingertips when I am sitting upright on my mtb, but when I lean forward, everything is perfect, so I don't worry about it. As long as your knees are slightly bent at the bottom of your pedal stroke and your shoe-tips are not hitting your tire while turning, you should be good.