Don ..... that is NOT an outrageous price, especially in a venue that hires 8 piece bands as well. As soon as you bargain your rates ..... you'll rarely get the "right" price again. I gladly loose 2 or 3 dates a year to lesser priced acts, just to maintain a standard and keep me happy. It also adds to your integrity when all clients are quoted the same rate.
Special circumstances always pop up, but NEVER, never get in the habit of underselling yourself. Even in bad times.
Remember .... the Prime rib STILL costs a "prime" rate.