fantasy with dragons and meremaids

Older book. Female author. Paperback had photo of author and her dog, "Jeep". The story revolves around a meremaid who was to be chosen as companion to the sea dragon. Her place is taken by a spoiled daughter of the leader and the dragon gets angry, tearing up the arena where the choosing takes place, badly hurting his companion. She heals and goes looking for the dragon and finds him cuddled up with a damaged nuclear submarine. The mermaid's love love interest is Menol. Her mentor/healer was blinded by the leader and had a seeing eye dolphin. An octopus sat on the dragon's egg on a hot sand place and hatched it.

Mermaid's Song? "Through the ages, the balance between good and evil is maintained by the Seadragons. But only two dragons remain, and unless the people of the underwater caverns can find a true Merramaid to act as a Between, evil will prevail in the watery realm."

Yes! I recognize the cover. Thank you!