Stake president wants girl to give baby up for adoption, disagreement ensues

I want your thoughts on this complex situation that has perplexed many a saint. Get ready for some high drama.

The girl got suspended from a CES school along with her boyfriend. Not long after, the girl found out she was pregnant. Both agreed they wanted to keep the baby, but after the father's parents intervened the boy began to insist on adoption. The girl does not want that.

The baby's grandfather is a stake president and his son has always dreamed of serving a mission. It's even a prominent part of his patriarchal blessing. However, the girl insists she is keeping and raising the baby, and would really prefer that he step up and raise it with her.

He reluctantly agrees that if she absolutely refuses to give it up for adoption, he would participate in raising the child. However, his emphasis towards adoption seems heavily influenced by his own father (the stake president).

From my perspective as a Latter-Day Saint from outside the US, I find it shocking and abhorrent that they won't even help the mother of their grandchild with basic expenses as she looks for a job during her pregnancy, but maybe that's just a cultural difference here in America.

What do you think? Is this typical? Are there good scriptural sources that speak on situations like this? I've read elsewhere that stake presidents are usually not as good as most bishops, which could be a factor.