I would go with #3. Let her pick colors, you pick the pattern. If she does pick a pattern you are not comfortable with, just tell her that it is above your skill level. It's ok to say no to a pattern if you fell uncomfortable with it.
BUT, take a look at the pattern first, not just the picture. Sometimes the pattern isn't as difficult as you may think. I have looked at some quilts and thought "no way can I do that". If you look at it one block at a time you can usually deconstruct it in your mind and it it easier than you think.
Do what YOU feel comfortable with. :-D :-D :-D