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They aren't your choices. You don't mention anywhere that your father is cognitively or physically incapacitated. This usually means that neither you nor your step-mother's PoA authority is active yet. So, if the granddaughter is making decisions then he must be allowing it. If this is the case then you will just have to live with it. I would ask him (in the presence of his wife and the granddaughter) who he wants to be his spokesperson at this time (not his decision-maker). Ask him what he wants while he's still able to speak for himself.
It's possible the granddaughter has no idea how PoA works, which would not be an uncommon thing. I come across it all the time. Maybe she justs needs to be diplomatically informed?
It may be a good time to read the PoA to see if both PoAs have to be in agreement on decisions and what happens if there isn't agreement regarding his care and the management of his affairs.
FYI in the elder, UTI's aren't always caused by bad hygiene. They can also occur because of changes in physiology and body chemistry. Using a catheter would definitely ramp up the risk.