Prepared by : Hadeel Wahdan

The following are the positions of both Palestinian and Israeli sides as stated in the political report read by the PLO Executive Committee Secretary Mahmoud Abbas before the Palestinian Central Council meeting on September 9, 2000:

JERUSALEM:

East Jerusalem that was occupied in 1967 consists of two sections: one section inside the Walls, including Aqsa Mosque, the Church of the Holy Sepulchre, Islamic, Christian and Armenian Quarters; the other section is outside the Walls and consists of quarters, such as Sheikh Jarrah, Musrara, Damascus Gate, Salah Eddin Street and others.

Israeli standing:
The Israelis divided this Jerusalem into various legal sections:

1- Jerusalem inside the Walls:

a- Aqsa Mosque: Sovereignty to Israel while Palestinians get to run its affairs only.
b- Islamic, Christian and Armenian quarters: Israeli sovereignty.
c- Compound for presidency inside the Islamic Quarter to enjoy Palestinian sovereignty.

2- The City outside the Walls: Israeli sovereignty with municipal jurisdictions to be exercised by Abu Deis Municipality over those quarters.

a- Villages surrounding Jerusalem (most of which are Zone B now) to have Palestinian sovereignty except for two villages.
b- Israelis will have a road to connect the regions where they have sovereignty through the village of Jerusalem.
c- Palestinians will have a road to reach Aqsa Mosque and its comes from abroad.

Palestinian standing:

* The whole of East Jerusalem returns to Palestinian sovereignty.
* The Jewish Quarter and the Wailing Wall to be under Israeli authority but not sovereignty.
* An open city and cooperation at the level of municipal services.

REFUGEES:

Israeli standing:

1. Israel expresses regret for the Palestinian refugee problem and is ready to absorb a few thousand - not to exceed 10,000 Palestinian refugees as long as this process is carried out within the context of the "family reunification" scheme and within fifteen years and which Israel accepts and approves based on a humanitarian basis.
2. Israel accepts the right of Palestinian refugees to return to the Palestinian State.
3. Israel accepts in principle to join an international fund for compensating the Palestinian refugees within an international formula; in return, Jews who left Arab countries should be compensated from this same international fund.

The Palestinian Authority demands that:

1. Israel take full historical, moral and legal responsibility for the creation of the Palestinian refugee tragedy and should carry out practical implementation for their right of return and full implementation of UN Resolution (194); return here means…a return to Israel.
2. The Palestinian Authority also demands compensation for both those who decide to return, in exchange for the use of their properties, and those who decide not to return, in exchange for their properties and suffering. This party responsible for this compensation should be the Israeli fund for absentee monies, which was first established to manage Palestinian refugee money in 1949.
3. The Palestinian refusal to mix between the problem of Palestinian refugees and Israeli immigrants since, if this actually does exist, it would be a separate problem between Israel and each individual Arab country

Israeli standing:
Israel is ready to withdraw from an area in the West Bank not exceeding between 60% and 70%; 10.5 % of the West Bank area, which includes settlement blocs near the Green Line, will be annexed to the State of Israel. The remaining 15%-20% of the West Bank area would remain under Israeli control under leasing terms and a firm Israeli refusal to exchange lands

Palestinian standing:
The Palestinian Authority demands land exchange inside the Green Line as the price of their acceptance of Israeli annexation of the major settlements in West Bank and some small border readjustments not exceeding 2%.

SECURITY:

Israeli standing:
1. A disarmed Palestinian state.
2. Israel is demanding control of parts of the Jordan Valley for a period not exceeded twelve years;
3. It is also demanding six military bases in the West Bank and three military observation points and an Israeli presence at airports.
4. Three early warning stations under Palestinian administration with one Palestinian liaison official.

Palestinian standing:
1. The Palestinian Authority accepts the presence of international or multinational forces at borders and a firm refusal of any Israeli presence inside Palestinian territories.