I think she actually did say it, and the libs and Tina Fey made a big out of context deal out of it. I could be wrong, but I think I remember hearing Sarah say it.
Nope. Sarah never said it. It was written for a comedy skit for SNL.
Palin did say that you could see Russia from Alaska (when talking about her FP experience). SNL morphed that into I can see Russia from my house.