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If she is claiming to have a power of attorney, that can be changed by them at will. Your parents should make one out for healthcare - asap- to state their wishes if either should be unable to speak for themselves, and to appoint someone to speak for them. As far as general power of attorney for other matters, that too can be changed at will by your parents. If your father is fully competant and your mom has an inkling of dementia, then you should advise them to smile sweetly and run, not walk to a senior center to have them help with paperwork and witnesses. Many of these forms can be downloaded & printed from the internet. Once signed & witnessed - ideally by local social services people, they can make plans to move with your help and the support of social services at the center.
Good for you supporting your parents. If the relationship is still ok with your other sister & they have the funds, perhaps they can gently remind her they will help her out in an emergency, in case she has been imprudent - her acting out may be a signal that her own finances will spiral out of control if they are not helping with bills. It happens, but if you can help your parents extract themselves with grace and leave the family intact that would be worth keeping in mind.
Good luck -