crys,
first thing, tell your mom it cant be done. this will put in the consideration that anything you do will be a miracle

and frankly, you're going to need a bit of a one on this one. it's not impossible, but you've got multiple issues going on here.
there are multiple fade areas; a color balance problem, noise problem, focus problem, some over exposure and a damaged blue channel (giving that black area on his shirt).
i'd start in one of two places, either fix that one retangular faded area in the central portion of the image by selecting it out and changing the contrast/brightness to match the other, or, split the channels into r*g*b and correct each channel first for overall contrast/brightness.
i did give this one a shot, but am still not happy with it, so i'm not posting anything yet. i tried both of the suggested methods above. both will improve things and i dont think the order here will matter much. either can be done after the other. i did have to convert the blue channel to 8 bit first just because of some of the things i tried with it, curves, levels, 32 band gray plugin, and then converted it back to grayscale before re-combining the channels.
so, i'd start there. at some point you're also going to have to clean up the noise. neat image, digital camera noise removal, polaroid dust and scratch removal, shld all help, but not completely. a combo of those might work, but i still think you're going to have to clone out a bit of it.
also, give some of this stuff a shot and post your progress images. these can help us help you and perhaps help us as well.
it's going to be a rough one to do and do well.
craig
edit: oh, and welcome to
RP