Now read it again:
"the US citizen parent must have resided in the US for a total of 10 years prior to the birth of the child, with
five of the years after the age of 14."
Hence, she could not have satisfied the five years after 14 years old condition.
This was the "send your pregnant daughter to a foreign convent" clause.
The thing is, and what the foreign-birth flavor birthers don't explain is how did she smuggle a foreign born baby
BACK into the US. Even in 1961, you couldn't just wander through customs with a minor who was not on your passport (back when minor children would usually be included on a parent's passport).
Now, you could argue that she "resided" in Hawaii, despite taking a trip abroad. After all, just because you travel does not mean you lose your residence. But you seem to be reading a FAQ of some kind and not the State Department's exhaustive 7 FAM 1130, which is based on the statutory language of "present in the US" and not "residing"
Enjoy:
www.state.gov/documents/organization/86757.pdf