In an address to the United Nations General Assembly in September, Palestinian President Mahmoud Abbas said the Palestinian Authority called on the ICC "to open an investigation and to prosecute Israeli officials for their involvement in settlement activities and aggression against our people".
In October, Mexico's former UNESCO ambassador, who was fired last year for walking out of a vote on an anti-Israel resolution effectively denying Jewish ties to Jerusalem, was honored in Los Angeles.
The statement said around 848 children had been displaced due to Israeli demolition of Palestinian homes.
A White House official told The Times of Israel it was not an "accurate representation", while Netanyahu's office said: "the report is not accurate".
Israeli Prime Minister Benjamin Netanyahu is set to be questioned by police on Sunday for the second time this month over two alleged cases of corruption, media reports said.
Israeli forces have killed 14 Palestinian children in the West Bank and Gaza Strip since the start of this year, according to a Palestinian statistics agency.
Secretary of State Rex Tillerson has determined the Palestinians have violated a rarely invoked provision in U.S. law that calls for the closure of the Palestine Liberation Organization's mission if they act against Israel in the International Criminal Court, the officials said.
Saeb Erekat, a top PLO official and lead Palestinian negotiator, said the Palestinians have responded to Tillerson's determination by warning they will end all contact with the Trump administration if it closes the U.S. office.
A US state department official cited "certain statements made by Palestinian leaders" about the International Criminal Court as the reason behind the non-renewal.
Though the U.S. does not recognize Palestine as a state, the Palestine Liberation Organization, which represents all Palestinians, maintains an office in Washington, D.C., in order to continue talks with the U.S.
Abbas has said he is prepared "to work positively" with Trump's peace efforts. "The procedures are not clear to us".
The Associated Press first reported the news of Tillerson's decision and the notification to the Palestinians. "This measure should in no way be a signal that the U.S.is backing off those efforts".
This move by the State Department will likely add to growing skepticism among the Palestinians that a U.S. -mediated deal with Israel will not be favorable to them.
However, the law does not specifically define what constitutes direct or meaningful negations.
The United States allowed the PLO to open a mission in Washington in 1994, a move that required then-President Bill Clinton to waive a law that said the Palestinians couldn't have an office.
The peace process has been deadlocked since April 2014 following the collapse of indirect negotiations led by then US secretary of state John Kerry.