Do you know how many inches of annual rainfall you get there?
Does your sulfur look like split peas?
An extension office can be a great help! Although it has been my
experience that some are better than others.
Someday, if might be useful to collect soil again and then send a sample to a lab that will do a more complete test - including testing for sulfur.
So there is no park nearby loaded with conifers? And nothing on your lawn?
Sulfur, of course, lowers pH. So I'm not surprised that the package recommends lowering pH more than you need (buy more of their product!). 7.0 will be fine.