What the GOP needs to do is isolate the racists. Show them they are not welcome to the party. Let them form a third party or leave the country. But every time a Republican doesn't step up when he hears his supporters make racist remarks, he loses many more independent voters.
If Republicans were more like Olympia Snowe I might be voting for them.
What do you do though when the base of your party is made up of people who for all intents and purposes think Hispanics should gtfo? The South is in charge of the party these days and there is virtually no moderating region left within the GOP. No Northeast Republicans (like Senator Snowe) who can move the debate away from immigration and social conservatism back to fiscal issues which could win back some voters.
I don't think the GOP wants Hispanics to leave the country. The Hispanics who are in the country illegally ae the ones the GOP has been edgy about gaining permenant status citizenship wise.They get crap from the southern base when immigration reform comes up. Keep in mind the GOP has Hispanic Politicians in high offices(Rubio, Martinez, Sandavol and soon Cruz.)
I do agree that there is no moderating region left. If the R's could moderate in the southwest they should though. Sandavol and Martinez they moderate and Sandavol is a Moderate Republican himself.