While I think that recognition of a Palestinian state is the ultimate goal, I do see one gigantic, glaring, massive problem with recognition of a true Palestinian state:
Palestine is full of factions and lacks central control over its own populace, many members of which have shown little hesitation in flinging rockets at Israeli cities.
Now, if a central Palestinian government could be relied on to control its citizenry and quit the attacks on their neighbours, then I'd be all for this. The 1967 borders are a good starting point for discussions on state boundaries, and its time that Israel accepted that part of the solution to its security concerns is the actual creation of a Palestinian state. BUT. At the same time, the biggest hiccup in the peace process in general has been recognition of the legitimacy of the state of Israel and guarantees of border security.
The trouble with a Palestinian state basically declared by the UN is that it is not contingent on good behaviour - and were the US not to veto it in the SC, the next time rockets come flying into Israel from next door it won't be considered a localized attack in an unstable and fairly borderless region - it'll be an act of war by one sovereign nation upon another. Part of statehood is the responsibility to ensure rogue elements in your nation do not attack others; Palestinian government is incapable of enforcing that guarantee.
To play out the scenario somewhat further, if Israel takes defensive military action in response to rockets against the newly-recognized Palestinian (Arab) state, just how long do you think it will take newly-unstable Egypt, Syria, and Iran to mobilize their militaries in response? Even fairly-peaceful Jordan might be up in arms.
Palestinian statehood, without security guarantees curbing the extremists living there, gives rogue Arab states the best excuse they've had in four decades to launch offensive military operations against Israel. And don't kid yourself, that is exactly why the US will exercise their security council veto - which is quite unfortunate. If the Palestinian Authority (in particular) could guarantee the arrest and prosecution of those who would ignite war, this discussion would have an entirely different tone.