According to one of the documents, the Palestinian Authority was prepared to concede most
Israeli settlements in
East Jerusalem, as well as the
Armenian Quarter, with the exception of
Har Homa. The
Temple Mount would be temporarily administrated by a joint body consisting of the Palestinian Authority, Israel,
Egypt,
Jordan,
Saudi Arabia, and the
United States until a permanent solution was reached.
[23]
At the meeting in Jerusalem in November 2007, Tzipi Livni became visibly angry when asked about the demographic composition of the future Israeli state. She was quoted as saying, "Israel the state of the Jewish people—and I would like to emphasize the meaning of 'its people' is the Jewish people—with Jerusalem the united and undivided capital of Israel and of the Jewish people for 3,007 years". The Palestinians team then protested her position on Jerusalem. She responded by saying "Now I have to say, before we continue, in order to continue we have to put out Jerusalem from your statement and from our place. We have enough differences, without putting another one out there".
[28]
en.wikipedia.org
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Temporarily.
And no, Israel would never divide Jerusalem.