Your thought on a "Jewish-Arab party" is still viced from inside : Jew is a member of a religion, Arab is an ethnicity. If present Israel is a democracy (I doubt within Western standards), its Israeli citizen could be Jew, Christian, Druze, Muslim and so on, as Palestinians still are mainly Muslims, but also some of them Christian and even Jew. So, why not breaking your religious hegemonic paradigm with a call for a "Israeli-Arab secular party" ?
Second rocket fired from Gaza explodes inside Strip (Haaretz)
from the article: A new party of good tidings