I'm sorry you are dealing with this. My oldest daughter just turned 17 a couple of weeks ago. Ugh is the kindest thing I can say. I hope you are all able to work it out.
It's a tough, tough decision. A long time ago, I was told that I was the absolute dictator when it came to health, safety and morality with my kids until they turned 18. They were only 2 and 3 when I got that advice. Along the way, we would tell them, no, this is a safety issue, we get the call or whatever.
At 16, it's a lot more difficult to draw that line.
Fortunately, ours are now grown.