Your water sounds very similar to my tapwater in Arizona. For what its worth, its perfect for cichlids. Most hardy fish will do fine in it, as well.
In my heavily planted tank, I run half tapwater and half R/O water, then run CO2
injection for the plants. Lowering the KH
by mixing allows the CO2
to bring the PH
down to right at 7 safely. This allows me to keep fish that wouldn't do well in our tapwater (i.e. rams).
Messing with PH
is tricky. Your fish will be much happier with a stable PH
than one that fluctuates, even if it is a little high for their liking.