Lose the roman blind, I don't like the look of it either. I don't think I would like drapes either.

I would get another cafe curtain and hang it on top and have it cover the rod of the lower one. When closed it would be like a 2 tiered curtain and open would hang by the frame.

You can try it out be taking the one off one window and trying it on the top of the other one.

I like the two-tiered cafe curtain idea. But, you could do draperies over the lower cafe curtains. I think in olden times they might have had lace in the lower panel, which you don't want. You have such nice trim work on your windows, though, it would be a shame to cover them up. Would you consider shutters that are split top and bottom? Keep the bottoms closed always and then open and close the tops. Or there might now be enough space at the corners. You can put draperies over shutters, and the cafe curtains are only a step away.

How about full length sheers plus the drapes? The sheers will give you daytime privacy and then you could close the drapes at night.

My SIL has an old Victorian and what she did was find sheers that are the exact length of the window opening. Then she hung them on tension rods, one rod on top and one through the bottom hem, inside the window. That way, if she wanted to see out or watch the kids in the yard, she just moved one of the tension rods up or down, giving her the space she needed for a clear view of the outside. She could have half the window free of the sheer, or 1/3 of the window, or whatever she needed.

Hey. Thanks for the replies! I forgot to mention that shutters on the bottom was my first choice, but I am on a very tight budget. What I have up there cost less than $30 for all four windows. I found this site where they have half roller shades in a bay window with curtains.
I've never seen layered cafe curtains, so I'm not sure what you mean by that. Do you keep the top ones open?

Here is a link that might be useful: http://www.changingcurtains.co.uk/gallery.html