 In 1961, a group of twenty-two conservatives including Congressman John M. Ashbrook of Ohio, lawyer William A. Rusher and scholar F. Clifton White met privately in Chicago to discuss the formation of a grassroots organization to secure the nomination of a conservative at the 1964 Republican National Convention. They budgeted $ 65,000 for the first year of activities and split the U.S. into nine geographic regions, appointing a director for each to build an organization and influence the local Republican Party. The main headquarters for the organization were established at Suite 3505 of the Chanin Building in New York City, leading members to refer to themselves as the "Suite 3505 Committee". They decided to wait until after the 1962 mid-term elections to choose a favored candidate. Following the election, they formally backed Goldwater, who upon hearing the news after a leak in January 1963, notified the group that he did not wish to begin a campaign. As a result, three months later, they established the "Draft Goldwater Committee" headed by Texas Republican Party Chairman Peter O 'Donnell of Dallas. The committee helped to win over state delegations by filling caucuses with supporters in the American West and negotiating with party leaders in the Midwest. The group also laid the foundation for the Southern strategy by essentially creating the Republican parties of the Deep South and overthrowing the Democratic patronage system. John Grenier, the former Alabama Republican Party chairman and the committee's southern regional coordinator, was responsible for the Republican organization in the South.
