Grey Wolf

Sounds like progress.  It's a good sign that the consulate is moving towards issuing your younger daughter's visa.
 

You may request the consulate to return your daughter's passport without the visa.  It will delay her visa case processing, but should have no impact to your other family members' cases.  There's no time limit for AP, but as others mentioned, you may sue to force the consulate to action with a WOM.
 

You could file pro se, I am sure it has been done, I do not think it is that common. Going rate seems to be about $5k.

No
You are asking that they do their job