Sesame Street is trying to be relevant by adding all these folks who in the real world have no qualities and are known for more sexual innuendos (i.e. California gurls) and the such.
While its fairly benign, she has gotten more press lately because of flaunting her chest, and the use of a higher outfit would have negated any issue this caused. However, because she doesn't have any skillsets other than the chest area, its still front and center and most people cannot tell she has the flesh colored mesh.
I personally am upset with SS because they keep getting these folks in.
however, i'm also the person who is upset with the Electric Company because all they have is hip hop on the songs. Nothing against hip hop, but it would be nice to experience other genres, such as latin, country, foreign, etc. If EC is aimed at a more urban setting, even though my suburban family enjoys it, then immersing the kids in other cultures would be great.