" There are also peace-loving people on both sides who are working together (nonviolently) to end the illegal occupation of Palestinian towns in the West Bank and Gaza. And to create a compromise, a peaceful solution to this conflict. They are the ones who deserve our support. Let us not be racist and see only the inhuman acts among either people. Let us join with the following groups and individuals to bring a truly peaceful solution to this horrible conflict."

This is correct, but, the basic problem is that there are also those among the Palestinians who want nothing less then the extermination of Israel.
There is no negotiating with these people, and peace, is not an option. The PLO charter has never changed, nor has the Hamas Charter.
The creation of a "palestinian" state will mean defact recognition of Israel...the Arab world will not let this happen- the Islamic world will not let this happen. What is the alternative? Israel must continue to defend her existence, and various groups of islamists and Pan Arabists must continue to attack israel.
Several among the Plaestinians who want peace with Israel can periodically be found haninging in Manger Square, after having been dragged through the steets and gutted...Israel will do the right thing. total disengagement and separation...the insuing palestinian civil war will make Chicago in the 20s look like a picnic...