WASHINGTON – A group of Israelis, Palestinians and North Americans have formulated a proposal for sharing Jerusalem to help the sides resolve one of the thorniest challenges in Middle East peace-making.The Jerusalem Old City Initiative, started by former Canadian diplomats who recruited erstwhile Palestinian and Israeli negotiators as well as American Middle East hands for the undertaking, suggests the creation of a “special regime” for the Old City.The regime would be jointly created and run by the Israelis and Palestinians, rather than an international body as has frequently been suggested in other accords that have not materialized.“We’re not talking about internationalization,” stressed Art Hughes, a former American diplomat who once oversaw the peacekeeping operation between Israel and Egypt and is currently an adjunct scholar at Washington’s Middle East Institute, which hosted the unveiling of the initiative Wednesday.Former US ambassador to Israel Dan Kurtzer, who has also been involved with the initiative, explained that the special regime would be “very much under the control of the two sides. It’s their baby. They shape it. They make it work.”The regime, however, would be headed by an outside administrator, envisioned as neither an Israeli nor a Palestinian, but someone with international standing. The administrator would preside over policing, movement and access to holy sites, archeological issues, zoning and planning decisions and other related issues; but not those linked to “nationality,” such as education and political rights.The administrator would be chosen by a board of top Israeli and Palestinian officials, and international officials whose presence had been approved by both sides. The proposed regime would not seek to resolve competing claims over sovereignty or be used to make policy decisions about how Jerusalem would be shared, organizers said. Instead, they emphasized, this would be a recipe for implementing a peace agreement with a shared capital once the policy issues had already been resolved.Israelis who participated in formulating the proposal include GileadSher, co-chief negotiator of then-prime minister Ehud Barak’s team atCamp David, and lawyer Daniel Seideman, who founded Ir Amim.Palestinians included Ghaith al-Omari, a former PLO negotiator, andNazmi al-Jubeh, the founder of Riwaq-Center for ArchitecturalConservation.Jerusalem, a final-status issue in talks between Israelis andPalestinians, is seen as perhaps the most difficult challenge inreaching agreement between the two parties. It has already emerged as aflashpoint for controversy during efforts to get indirect talks off theground this spring, as an Interior Ministry announcement of more Jewishhousing in east Jerusalem derailed a March visit by US Vice PresidentJoe Biden meant to launch talks.This week, after additional prodding by the US, the sides are poised tobegin the long-awaited talks. While Palestinians want Jerusalem to beaddressed, along with all final-status issues, Israel has argued forbroaching final-status issues only when the talks enter the stage ofdirect negotiations.