NEWS: After meeting with US officials, PLO officials say they are still intent on a UN initiative, but add this does not contradict the peace process. A PA report says settler violence against Palestinians increased "dramatically" in June. UNRWA insists its name has not changed. Israeli police deploy to meet a pro-Palestinian "flytilla." The PA eliminates immunity for ministers in a corruption probe. Hamas arrests another male hairdresser. Arabs and Israelis quarrel at an international water conference. Israel and Turkey are reportedly negotiating about a UN report on last year's flotilla. EU officials say the July Quartet meeting will try to develop the framework for new talks. COMMENTARY: Amira Hass says Israel's response to the flotillas is self-defeating. Larry Derfner says that flotillas should be supported despite their flaws, but D. Bloomfield says the whole thing is pointless. Ruqaya Izzidien says flotilla solidarity is more important than aid cargo. Leonard Fein says rather than just opposing Palestinian UN initiatives, the US should craft a compromise resolution. Michael Jansen says Palestinians should push the West to change its peace approach. Tony Karon questions the idea that Israel is the "national home of the Jewish people." Daniel Kurtzer says the role of mediators is crucial. Nizar Farsakh profiles the role of Quartet mediator James Wolfensohn in the Gaza redeployment. Ron Pundak looks at lessons from Oslo mediation. Aaron David Miller says chances of a negotiating breakthrough in the short run are slim.