7. Israeli towns and villages
Israel will strive to leave the immovable property relating to Israeli towns and villages intact. The transfer of Israeli economic activity to Palestinians carries with it the potential for a significant improvement in the Palestinian economy. Israel proposes that an international body be established (along the lines of the AHLC), with the agreement of the United States and Israel, which shall take possession from Israel of property which remains, and which will estimate the value of all such assets.
Israel reserves the right to request that the economic value of the assets left in the evacuated areas be taken into consideration.
8. Civil Infrastructure and Arrangements
Infrastructure relating to water, electricity, sewage and telecommunications serving the Palestinians will remain in place. Israel will strive to leave in place the infrastructure relating to water, electricity and sewage currently serving the Israeli towns and villages. In general, Israel will enable the continued supply of electricity, water, gas and petrol to the Palestinians, in accordance with current arrangements. Other existing arrangements, such as those relating to water and the electro-magnetic sphere shall remain in force.
9. Activity of International Organizations
Israel recognizes the great importance of the continued activity of international humanitarian organizations assisting the Palestinian population. Israel will coordinate with these organizations arrangements to facilitate this activity.
10. Economic arrangements
In general, the economic arrangements currently in operation between Israel and the Palestinians shall, in the meantime, remain in force. These arrangements include, inter alia:
i. the entry of workers into Israel in accordance with the existing criteria.
ii. the entry and exit of goods between the Gaza Strip, the West Bank, Israel and abroad.
iii. the monetary regime.
iv. tax and customs envelope arrangements.
v. postal and telecommunications arrangements.
In the longer term, and in line with Israel's interest in encouraging greater Palestinian economic independence, Israel expects to reduce the number of Palestinian workers entering Israel. Israel supports the development of sources of employment in the Gaza Strip and in Palestinian areas of the West Bank.
11. Erez Industrial Zone
The Erez industrial zone, situated in the Gaza Strip, employs some 4000 Palestinian workers. The continued operation of the zone is primarily a clear Palestinian interest. Israel will consider the continued operation of the zone on the current basis, on two conditions:
i. The existence of appropriate security arrangements.
ii. The express recognition of the international community that the continued operation of the zone on the current basis shall not be considered continued Israel control of the area.
Alternatively, the industrial zone shall be transferred to the responsibility of an agreed Palestinian or international entity.
Israel will seek to examine, together with Egypt, the possibility of establishing a joint industrial area in the area between the Gaza Strip, Egypt and Israel.
12. International passages
i. The international passage between the Gaza Strip and Egypt
The existing arrangements shall continue.
Israel is interested in moving the passage to the "three borders" area, approximately two kilometers south of its current location. This would need to be effected in coordination with Egypt. This move would enable the hours of operation of the passage to be extended.
ii. The international passages between the West Bank and Jordan:
The existing arrangements shall continue.
13. Erez Crossing Point
The Israeli part of Erez crossing point will be moved to a location within Israel in a time frame to be determined separately.
14. Timetable
The process of evacuation is planned to be completed by the end of 2005. The stages of evacuation and the detailed timetable will be notified to the United States.
15. Conclusion
Israel looks to the international community for widespread support for the disengagement plan. This support is essential in order to bring the Palestinians to implement in practice their obligations to combat terrorism and effect reforms, thus enabling the parties to return to the path of negotiation.

