I thought she was born in Kenya, just like his biological father? But now I see she was born at Fort Leavenworth, Kansas. However she was only 18 when she had Obama... and I know the laws about children of American parents born abroad was complicated prior to February 2001when they simplified it some, and the biggest thing in question is the fact that blood relatives of his claim to have been at his birth in Kenya.
Now it appears if your child is born abroad, (even if at a u.s. military base or embassy), you have to apply to have them naturalized as a u.s. citizen... not sure if it was similar before that or not.
Would you have a link to that new ruling? (I hope) Or do you know where I could look for it? I haven't heard to that one.