The American and Israeli governments are in the midst of the latest chapter of their ongoing dispute over West Bank settlements, with the spark this time being Israel’s announcement of its solution to the problem of Amona, an issue about which I wrote last month. The solution, such as it is, is to build a new neighborhood in the settlement of Shilo consisting of 98 new houses for the residents of Amona, which the Israeli government insists is simply building on empty land within the current municipal boundary of an existing settlement, and the U.S. government insists is the creation of a brand new settlement and runs contrary to assurances from the Netanyahu government that it would not build new settlements in the West Bank. Consequently, the Obama administration issued an unusually harsh condemnation on Wednesday, while the Israeli Foreign Ministry and various ministers fired right back on Thursday. All of this comes on the heels of the recently concluded $38 billion ten year military assistance MOU between the two countries, and in the middle of rampant speculation as to what the White House will do (or not do) regarding the peace process or settlements on its way out the door.

The tragedy here is that this dust up could have and should have been easily avoided with some more measured moves on both sides. The Israeli government has a problem, which is that it needs to evacuate these settlers who are living in a settlement that was illegally built on private Palestinian land, but it is constrained by a coalition that cannot countenance any policies that appear to be selling out the settlers or limit Jewish settlement in the West Bank. The U.S. government also has a problem, which is that it has taken a tough line with regard to Israeli settlement activity and cannot sit silently by as Israel announces new settlement construction in a place that is outside any conceivable boundaries of what Israel will annex under a permanent status agreement, but also does not want a high profile fight with Jerusalem in the midst of a presidential election and so soon after the successful MOU negotiation.

The solution to this lies in the plans that have been developed by the Commanders for Israel’s Security, and in measures for which I have previously argued. Shilo is a clear example of a settlement that is beyond the security barrier, has not been proposed by Israel to be retained under any round of peace negotiations, and will eventually be evacuated. There is no earthly sensible reason to move the Amona settlers there, since it only complicates the situation down the road and is guaranteed to raise hell from the U.S., the E.U., and nearly every international observer. But if the Israeli government were to take the commanders’ advice and complete the security barrier while renouncing all territorial claims to land beyond it, then it could move the Amona settlers to one of the bloc settlements on the west side of the fence. This would abrogate the need to build new housing in a place that is literally closer to Jordan than it is to the Green Line, make it clear that Israel’s intentions are not to gobble up as much of the West Bank as possible, and still mollify coalition partners by keeping the settlers in a settlement. Concurrently, the U.S. government could recognize that not all settlements are equal, that saving its fire for settlement construction exclusively in places like Shilo rather than equally condemning construction in places like Ramat Shlomo inside the Jerusalem municipality might actually lead to better outcomes through creating a different set of incentives, and ensure that a contiguous Palestinian state in the West Bank remains a possible outcome.

Is this a perfect solution? Not at all. I would much rather see the Amona residents move to Jerusalem or Tel Aviv. But clearly what’s happening now is not working, and the politics both in the U.S. and Israel make more drastic measures from both sides impossible. Amona should never have been built in the first place, and this entire mess should never have gone this far. But even so, if Israel were to act a bit smarter and not kowtow so far to the right, and the U.S. were to keep an eye on the long game rather than sweat the relatively small stuff – even when the small stuff is legitimately infuriating, as it is in this case – then everyone would be a lot better off.

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