Keith,
You don't say how long you have had your Paradigms in your system.
First and foremost, break in your Paradigms for a good 100 hours before expecting them to blossom, and blossom they will. The Studio series is notorious for its long break in period. My Studio 100's sound great now but I almost returned them because I was so disappointed when I first brought them home. Play them, play them, play them. I'm glad I was patient.
Second, consider buying a good dedicated CD player rather than expecting good quality CD playback from a DVD player. Some DVD players do fine with CD playback but not many.
As far as a good $ 1000 integrated, there are many good ones on the market. I currently run an Arcam Alpha 10 100 wpc which is a highly regarded former Stereophile Class B recommended. You can pick up a mint Alpha 10 on Audiogon for $ 600-700. The newer FMJ A22 is essentially the same product and runs $ 1000-1100 used on Audiogon. It is a current Stereophile Class B product.
Second on my list for integrateds in that price range would be the Musical Fidelity A 3.2 - also a Stereophile Class B recommended product. This is new $ 1495 but mint used at probably 60% of that.
Personally, I will be purchasing a Bryston 4B SST power amp and use my Arcam 10 as a preamp only to drive it. I want more oomph.
Good luck.