Not The Change They Wanted
The disclosure that the Republican National Committee spent more than $150,000 on clothing and accessories for vice presidential candidate Sarah Palin and her family set off recriminations among GOP officials—and, more important, party donors. It wasn't just the volume of the purchases—which included new dresses for Palin, suits for husband Todd and outfits for her children—it was the use of swanky stores like Neiman Marcus. One top party fundraiser told NEWSWEEK that, ever since the story broke on Politico.com, he was bombarded with calls from Republican donors who were "furious" that their contributions were used for such purposes. "This has damaged everybody's credibility," griped the fundraiser (who asked not to be identified talking about party business). Among those upset was Saul Anuzis, the Michigan Republican Party chairman, still smarting over McCain's decision to pull out of his state. "I have no idea how you spend $150,000 on clothes," he says. Lobbyist Andrea McWilliams, a GOP fundraiser in Texas, said the flap undercut the party's message. Palin's "transformation from low couture to haute couture isn't the kind of change that voters had in mind," she said.
The decision to greenlight the purchases was made after Palin arrived in Minneapolis for the Republican Party convention. Campaign aides quickly concluded that she lacked the necessary wardrobe for two months of intensive national campaigning. "She didn't have the fancy pantsuits that Hillary Clinton has," explained one staffer (who, like most others interviewed for this account, declined to be identified speaking about the episode). The problem was figuring out how to pay for new dresswear: the 2002 McCain-Feingold law, co-authored by the GOP candidate, tightened the rules to ban using campaign funds for personal clothing. While Jeff Larson, a veteran GOP consultant who headed the party's "host" committee, provided his credit card for the Palin family shopping spree, he was directed to send the bills over to the Republican National Committee (which was not covered by the clothing ban in McCain-Feingold). RNC officials were not happy about it. "We were explicitly directed by the campaign to pay these costs," said one senior RNC official who also requested anonymity. After at first declining to comment, a McCain spokeswoman said the clothes would be donated to charity after the campaign was over.
Palin said she was getting a bum rap. "If people knew how frugal we are," she said. She told Fox News that her "favorite" store is an Anchorage consignment shop called Out of the Closet. Still, some of the disgruntled party donors said her claim of frugality was hard to square with the details in campaign spending reports, such as the $75,062 one-day tab at the Neiman Marcus in Minneapolis, and $4,902 spent at Atelier New York (a high-end men's store). One veteran GOP consultant (who also requested anonymity) said the real puzzle among his peers is why Larson didn't find a way to disguise the expenses, at least until after the election. Larson declined to comment.
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Michael Isikoff has been an award-winning investigative correspondent for Newsweek since 2004. He has written extensively on the U.S. government's war on terrorism, the conflicts in Iraq and Afghanistan, presidential politics and other national issues. His book, "Hubris: The Inside Story of Spin, Scandal, and the Selling of the Iraq War," co-written with David Corn, was an instant New York Times best-seller when it was published in September, 2006. The book was hailed by the New York Times Book Review as "fascinating reading" and "the most comprehensive account of the White House's political machinations" in the run up to the war in Iraq. Since January 2009, Isikoff has been an MSNBC contributor, making regular appearances on the Rachel Maddow Show and Hardball w/ Chris Matthews.
Ever since the events of September 11, Isikoff has broken repeated stories about the U.S. government's war on terror and won numerous journalism awards. His blog "DeClassified: Investigative Reporting in Real Time," which appears regularly on Newsweek's Web site and is written with MarkHosenball, has become a must-read for senior U.S. intelligence officials. Isikoff and Hosenball won the 2005 award from the Society of Professional Journalists for best investigative reporting online.
Isikoff's June 2002 Newsweek cover story on U.S. intelligence failures that preceded the 9-11 terror attacks, along with a series of related articles, was honored with the Investigative Reporters and Editors top prize for investigative reporting in magazine journalism. He was honored, along with a team of Newsweek reporters, by the Society of Professional Journalists for coverage of the Abu Ghraib scandal. For that coverage, Isikoff obtained exclusive internal White House, Justice Department and State Department memos showing how decisions made at the highest levels of the Bush administration led to abuses in the interrogation of terror suspects. Isikoff was also part of a reporting team that earned Newsweek the National Magazine Award for General Excellence in 2002, the highest award in magazine journalism, for their coverage of the aftermath of the September 11 terror attacks.
Isikoff's exclusive reporting on the Monica Lewinsky scandal gained him national attention in 1998, including profiles in The New York Times and The Washington Post and a guest appearance on "Late Show with David Letterman." His coverage of the events that lead to President Bill Clinton's impeachment earned Newsweek the prestigious National Magazine Award in the Reporting category in 1999. Isikoff's reporting also won the National Headliner Award, the Edgar A. Poe Award presented by the White House Correspondents Association and the Gerald R. Ford Journalism Prize for Reporting on the Presidency. In 2001, Isikoff was named on a list of "most influential journalists" in the nation's capital by Washingtonian magazine.
Isikoff is the author of "Uncovering Clinton: A Reporter's Story," a book that chronicled his own reporting of the Lewinsky story and was hailed by a critic for The Washington Post-Los Angeles Times news service as "the absolutely essential narrative of the scandal with revelations that no one would have thought possible." The book, also a New York Times bestseller, was named Best Non-Fiction Book of 1999 by the Book of the Month Club.
Isikoff came to Newsweek from The Washington Post, where he had been a reporter since September 1981. There he covered the Justice Department and the Persian Gulf War, reported on international drug operations in Latin America and worked on the Post's financial news desk. Isikoff graduated from Washington University with a B.A. in 1974 and received a Masters in Journalism from Northwestern University's Medill School of Journalism in 1976.
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