This is about three things:
A. Principle
B. Status
C. Frank
On principle, why should Genie accept recurring? Was Tony Geary, with all his increasingly wild demands to take more time off, with all his meddling in the writing, was he EVER asked to take recurring? If not, why should his just as popular counter part be?
And it's also about status. There is a reason Genie has never worked on a soap as a recurring player. There is a reason she was paid so highly over at Y&R. She's a soap LEGEND. You wouldn't invite Susan Lucci, Tony Geary, Melody Scott Thomas, Eric Braeden or Maurice Benard to your soap and offer them recurring. It would be an insult to their status, to their popularity in this particular medium.
Genie is at that level. She shouldn't pretend she's not. Obviously it's up to her, but I wouldn't be returning to GH, or any soap, on recurring unless I truly, truly was ready to let my status go. If Genie wants to semi retire on these soaps, like the rest of the vets, then by all means she should take it.
And finally, it's Frank. If Soap Central is correct, and Frank told Genie he only wanted her for TWELVE appearances a year, then this bastard isn't worth caving in to. Let him deal with the heat of her exit. She shouldn't relent without promises of real story and a real place on the canvas befitting her legacy and her talent.