NY Times takes on Clinton Foundation

Unease at Clinton Foundation Over Finances and Ambitions
By NICHOLAS CONFESSORE and AMY CHOZICK

Nicholas Confessore & Amy Chozik, NY Times - Soon after the 10th anniversary of the foundation bearing his name, Bill Clinton met with a small group of aides and two lawyers from Simpson Thacher & Bartlett. Two weeks of interviews with Clinton Foundation executives and former employees had led the lawyers to some unsettling conclusions.

The review echoed criticism of Mr. Clinton’s early years in the White House: For all of its successes, the Clinton Foundation had become a sprawling concern, supervised by a rotating board of old Clinton hands, vulnerable to distraction and threatened by conflicts of interest. It ran multimillion-dollar deficits for several years, despite vast amounts of money flowing in.

And concern was rising inside and outside the organization about Douglas J. Band, a onetime personal assistant to Mr. Clinton who had started a lucrative corporate consulting firm — which Mr. Clinton joined as a paid adviser — while overseeing the Clinton Global Initiative, the foundation’s glitzy annual gathering of chief executives, heads of state, and celebrities.

The review set off more than a year of internal debate, and spurred an evolution in the organization that included Mr. Clinton’s daughter, Chelsea, taking on a dominant new role as the family grappled with the question of whether the foundation — and its globe-spanning efforts to combat AIDS, obesity and poverty — would survive its founder.

Now those efforts are taking on new urgency. In the coming weeks, the foundation, long Mr. Clinton’s domain since its formation in 2001, will become the nerve center of Hillary Rodham Clinton’s increasingly busy public life.

This fall, Mrs. Clinton and her staff will move into offices at the foundation’s new headquarters in Midtown Manhattan, occupying two floors of the Time-Life Building. Amid speculation about her 2016 plans, Mrs. Clinton is adding major new initiatives on women, children and jobs to what has been renamed the Bill, Hillary & Chelsea Clinton Foundation. ...

The foundation, which has 350 employees in 180 countries, remains largely powered by Mr. Clinton’s global celebrity and his ability to connect corporate executives, A-listers and government officials. ... For most of the foundation’s existence, its leadership has been dominated by loyal veterans of the Clintons’ political lives. Ira C. Magaziner, who was a Rhodes scholar with Mr. Clinton and ran Mrs. Clinton’s failed attempt at a health care overhaul in the 1990s, is widely credited as the driving force behind the foundation’s largest project, the Clinton Health Access Initiative, which, among other efforts, negotiates bulk purchasing agreements and price discounts on lifesaving medicines...

Over the years, the foundation has dived into virtually any cause that sparked Mr. Clinton’s interest: childhood obesity in the United States, sustainable farming in South America, mentoring entrepreneurs, saving elephants from poaching, and more. That list will shift soon as Mrs. Clinton and Chelsea build their staffs to focus on issues including economically empowering women and combating infant mortality.

In the coming months, as Mrs. Clinton mulls a 2016 presidential bid, the foundation could also serve as a base for her to home in on issues and to build up a stable of trusted staff members who could form the core of a political campaign.

Mrs. Clinton’s staff at the foundation’s headquarters includes Maura Pally, a veteran aide who advised her 2008 presidential campaign and worked at the State Department, and Madhuri Kommareddi, a former policy aide to President Obama.

Dennis Cheng, Mrs. Clinton’s deputy chief of protocol at the State Department and a finance director of her presidential campaign, will oversee the endowment drive, which some of the Clintons’ donors already describe as a dry run for 2016.

And Mrs. Clinton’s personal staff of roughly seven people — including Huma Abedin, wife of the New York mayoral candidate Anthony D. Weiner — will soon relocate from a cramped Washington office to the foundation’s headquarters. They will work on organizing Mrs. Clinton’s packed schedule of paid speeches to trade groups and awards ceremonies and assist in the research and writing of Mrs. Clinton’s memoir about her time at the State Department, to be published by Simon & Schuster next summer.

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