Hi jbr - I think I would also be po'd with some of this, but it seems that you might be better off taking a step back, trying to be cooperative, and waiting for the conference in 2 weeks. This teacher seems on the defensive now, and you'll have to work to get her out of that mode.
I would be especially irked with the native american comment "we will not be studying our native american history" - sounds like she's discounting your roots. But then again, it's an email, and things are always left out. Maybe this cultural "diversity" project is aligned with a european studies or something. But what would she do if she had a student who was 100% native american?! At this time, though, I'd say go along with teacher until you can (hopefully) sort things out.
good luck! I know it would be hard for me to be civil to someone who seems intent on making things difficult for my child, but there could just be some great misunderstanding.