I would add an idea that a friend, who spent a career as an international banker, came up with: simply stop the ability to wire money to Latin America without a demonstarted and approved need.
He thinks there are all sorts of Constitutional and practical difficulties with such an approach. However, there is no doubt it would remove a lot of incentive to come up here and work.
The drain on the US economy is some $25BB a year according to the latest Mexican government figures. He thinks this could be a greater drain on our economy than the Iraq War, most of the cost of which stays here to our economies benefit.
We've got to take the economic benefit to Vicente Fox out of the illegal alien invasion. The latest figures I read, from the Bank of Mexico, was $20 billion dollars was transferred out of our economy into their's. Even one fourth of that amount would more than fix the schoold funding problem we have in Texas.
Put a 50% tax on funds transferred by wire transfer companies. Give the sender a tax receipt. If they file an annual Income Tax, then refund the amount. Any funds sent by a bank would not need to be taxed because banks are so closely scrutinized.
Meanwhile, Dallas Independent School District is thinking about knowingly violating the law by hiring 400 illegals to teach all the little Mexicans in Spanish. It seems we do not have enough bilingual teachers to meet the demand. 400 Illegals to teach schools in Dallas
That smacks straight out of Lenin's book. Good luck passing that kind of measure on the federal level.
OTOH taxing the living daylights out of the wire transfers based on the amount sent, that will be a starter.
A demographic based schedule of taxing, on the countries, were the money are wired, the amount of money you send, how often and taxes will be adjusted accordingly. Supply and demand will control the taxing bracket.
I bet the politicians will love this type of thing, since they are hungry for every bit of money and a new taxation scheme.
Also additional banking regulations are in order to curtail some of the bankers, should I say "flexible" practices, to lure "new" customers.