Mom’s Dress Alterations!

As Hannah says, you'd need to ask a seamstress to be sure, but here are my thoughts -

I don't think it's structural integrity that will be the problem, but other things.

If you raise the waist, your skirt might be too short, because you're losing fabric from the mid-section and can't make the skirt longer. You might get lucky and have a bit of extra hem edge with the skirt, but it's unlikely. It depends how it's constructed.

You could add a panel of fabric or of lace/something to the bottom to hide this, depending on how much you raise the waist, or you could chop it off so it's a ballet/tea length which would at least look intentional.

Realistically, the sleeves look doable - you'd have to remove the lace details, remove them at the shoulder seams, and then add on new sleeves. The main issue with that is going to be finding material that is even close to matching - it is not easy to match vintage fabrics. You could go for something contrasting, or use a sheer fabric in a similar colour rather than try to match them exactly - if you did this, you could spread out the lace embellishments over, to give the impression they've always been there.

I also think just removing the short sleeve to make it sleeveless would be stunning. Agree with pp's that you should consult a seamstress to see what alterations are possible. Raising the waistline would definitely update it, but may not be possible if you dont' want to lose length or add to the bottom.