The draft, circulated to council members, follows Palestinian President Mahmud Abbas' address last week to the UN General Assembly in which he called for a fast-track to statehood.
The text, put forward by the Arab group, calls for "the full withdrawal of Israel, the occupying power, from all of the Palestinian territory occupied since 1967, including East Jerusalem, as rapidly as possible and to be fully completed within a specified timeframe, not to exceed November 2016."
It calls for the world body to respect "the independence and sovereignty of the state of Palestine and the right to self-determination of the Palestinian people."
European countries and the United States have steadfastly maintained that the best path to Palestinian statehood is through direct negotiations between Israel and the Palestinians, and not by imposing a deadline.
"We are aware of President Abbas' plans and we continue to believe -- to strongly believe -- that the only way to a negotiated solution is through negotiations between the two parties," US Ambassador Samantha Power said yesterday.
"The Palestinian leadership is coming under heavy pressure not to go to the Security Council or join international organizations, and the main pressure relates to aid," he said.
"Relations with the US administration are strained... And it is not in our interest to worsen it. But at the same time, we cannot go back on our decision."
Palestinian diplomats said they were aware of US opposition to setting a deadline, but that they hoped to tap into support from the broader international community.
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