It's more of a stretch than that. If one actually reads the article linked the author references the "Act of 1802" and quotes the Naturalization Act
The children of persons duly naturalized under any of the laws of the United States, or who, previous to the passing of any law on that subject by the Government of the United States, may have become citizens of any one of the said States under the laws thereof, being under the age of twenty-one years at the time of their parents being so naturalized or admitted to the rights of citizenship, shall, if dwelling in the United States, be considered as citizens of the United States, and the children of persons who now are, or have been citizens of the United States shall, though born out of the limits and jurisdiction of the United States, be considered as citizens of the United States: Provided, that the right of citizenship shall not descend to persons whose fathers have never resided within the United States.The author "Publius" also says "In my judgement, our minister erred in his decision - & Mr. McClure ought to have been held as a citizen of the United States." He goes on to suggest that the law should be amended, but is clear that "We are not considering what the law ought to be, but what it is."
One must conclude that either Donofrio didn't actually read this article very well, or is dissembling about what it contains. I'll assume the original poster was misled by Donofrio's comments and did not read the article at the link.
The error (as explained in the text) is on the basis of the naturalization of the father, not place of birth. It's very clear that place of birth is not sufficient to create citizenship for the children of foreigners. This rejects English common law ... and it does so by stressing a right of expatriation which is NOT part of common law.
A related bit of information includes this effort in congress to bar citizenship for the children of Aliens that leave the country.