d70s + 18-55 because she's a newb. Get her a 35/1.8 later on.
D70s allowed me to learn photography, including offcamera flash usage via CLS. If you shoot in RAW, you can get great pics.
D70 (s) with a 18-70 and a 50 1.8. If it doesn't fit in the budget I would start them out with the 18-70. Maybe starting with a prime would be better, I'm not sure myself.
I would really stay away from the D40/D60/D3000/D5000 just because it severly limits the lenses you can use AF on. I have a D70s and prefer the controls/size over the D50. There have been D50s going on Cragslist for sub $200.
Does she have access to a dark room? Most junior highs and high schools up here have one that see very little use, and students at the schools could get in and use supplied chemicals (and sometimes even paper and bulk film) for free. Also check local universities/colleges - for a small fee, some will let non-students there use the facilities.
If she does, get her a film body and a 50mm. My photography improved at a much faster rate for the brief period I shot exclusively film than it did back when I started on digital only. The entry cost is also much lower and the upkeep costs (film, chemical if it's not supplied) really make you make every shot count.
Had to do the same thing for my son because he took a B&W photography class at his High School. I would suggest that you ask her to consider taking a B&W class first. I spent about 350 for a used FM2N and a 50 1.8 and he's having a ball. This will give her the basics maybe even teach her a bit about the zone system. For what it's worth, I've always had a ball souping film and making prints. There is nothing quite like it.
Do it right. Sell what you need to but do it right.
Buy her a D700, the 14-24, the 24-70 and the 200-400. OH ... don't forget a macro.
It is cheaper than most costs with kids and could lead to priceless things. Don't treat your daughter like she has potential and then give her low end soccer mom gear. Blow her mind ... that you really believe in her and that your wallet is going along with the talk.
(My daughter got a D70 and three lenses for her sixth birthday. People thought I was nuts (I was) but she did sell one photograph - and that was worth the two grand right there to me as someone wants to teach her both photography that she can do anything.)
But the best part is that you can't lose. If she sticks with it you win. If she loses interest ... you really win when you get her gear!