Sounds normal to me with running the AC.
Even though the computer could be tuned for lower fan temp turn on's, the low speed fan really won't do anything to help keep down alot and running the AC does keep the low fan on the whole time. If you are in the city and not hitting higher speeds it's just going to heat soak faster and raise the temps, I wouldnt be at all worried with seeing the temps in the 195-200 with the AC on. Bleed the coolant again if you want from the thermostat housing, who kows.
I run a 195 thermo myself and in the humid summer it really never goes above 205-208 when I'm not moving alot.