Verb Should Agree with Subject

I came across this awkward sentence in a Letter to the Editor published in the San Jose Mercury News this morning:

Second, the only situation where things might be wished otherwise are well-understood cases of exceeding moral clarity.

Because "situation" (which is singular) is the subject of this sentence, the verb cannot be "are" (which is plural). However, if you simply change "are" to "is," the sentence remains awkward.

Sometimes, your best choice is to do what my grandfather used to call "throw the baby out with the bath water and start all over again." Here are a couple suggestions for better wording:

The only instances (situations) where things might be wished otherwise would be well-understood cases of exceeding moral clarity.

Only in situations involving exceeding moral clarity might things be wished otherwise.

Things might be wished otherwise only in situations involving exceeding moral clarity.