From what you described I think you have an issue with ball position. First it sounds like you need to relax your arms and stand a little further from the ball to bring your club heal back to the ground and lower the butt of the club.

Then I would check to see if your ball position is to far back in your stance. Witht the pre-shot routine you described it sounds that the only time your shoulders would be close is with the ball back in your stance.