There isn't a viable solution that doesn't involve the dissolution of Palestine. You can integrate Palestine into Israel, which won't happen because Jewish racism (the demographic problem). You can evict the Palestinians, which won't happen because it would require bombing the Arab troops who prevent them from leaving. You can destroy all the illegal settlements, which won't happen due to Israeli domestic policies.
Further, the only way to get the cooperation of Israel is to cut off the aid. This would be impossible for the US to do, thanks to the insane evangelical Christians who believe Israel needs to be preserved for the end times.
The best thing to do is look the other way as Israel wages a war of extermination. Right Emerald?