I ran into the same issue and went with Select2. It's forked from Chosen and solves this positioning problem (and adds remote AJAX loading and other cool features).
Modal dialog boxes have plenty of good uses. But most of all, they're an option. Another tool to use.
2. Does your server demands a human sacrifice for every request it processes or something? And if so, do you not include any images, fonts or script files on your pages and inline everything?
3. Modal popups don't just display new information. They block access to everything else in the window. In the wast majority of cases doing that is pointless and stupid. The evolution of Firefox UI is a great example of how much more usable modal-less interfaces really are.
If you feel modals have wronged you in this life as you seem to, there is no point in trying to persuade your short-sightedness.
Suggestion: I thought the progress bar was much longer, spanning the total lower part of the modal, up to the buttons, because there is so little contrast. If I were using it as a real wizard, i might have aborted, thinking there were maybe 10 times as many steps involved.
Can't host the demo's on github pages?
EDIT>> docs are back http://www.panopta.com/2013/02/06/bootstrap-application-wiza...