LOS ANGELES -- Thousands of people marched through downtown on Saturday, demanding a way for the country's estimated 12 million illegal immigrants to become American citizens and condemning President Bush's latest proposal.

Carrying signs saying "Amnesty Now!" and "Love Thy Neighbor, Don't Deport Him," about 15,000 people danced to Mexican ranchera music, chanted "Si, se puede!" or "It can be done!" and passed large American flags over the crowd.

Many were angry about a White House plan that would grant illegal immigrants work visas but require them to return home to apply for U.S. residency and pay a $10,000 fine.

"Charging that much, Bush is going to be even more expensive than the coyotes," said Armando Garcia, 50, referring to smugglers who transport people across the Mexican border. "He will become the No. 1 coyote."

Garcia said he was in the U.S. legally, but has several brothers here illegally.

Such focused criticism of Bush was a departure from many immigrant rallies over the past year. While illegal immigrants and their advocates have long focused their ire at conservative Republicans and Congress in general, many had seen Bush as an advocate of immigration reform. Indeed, Bush has repeatedly said he favors reform that would give many illegal immigrants a path to citizenship.

The White House's draft plan, leaked last week, calls for a new "Z" visa that would allow illegal immigrant workers to apply for three-year work permits. They would be renewable indefinitely, but would cost $3,500 each time.

Then to become legal permanent residents, illegal immigrants would have to return to their home country, apply at a U.S. embassy or consulate to re-enter legally and pay a $10,000 fine.

The proposal has been sharply criticized by Hispanic advocacy groups, many Democrats, the Roman Catholic Church and unions that have many immigrants in their ranks. They argue the cost of work permits and the green card application are prohibitive for low-wage earners.

"For my wife and I it would cost about $30,000," said Francisco Gomez, 41, who along with his wife is in the country illegally. "Multiply that by all the illegal immigrants here ... It's obvious Bush just wants to fund his Iraq war with our money."

Maria Lopez, 50, an illegal immigrant who works as a seamstress and sends $200 a month home to family members in Mexico, said she could never apply for residency under Bush's plan.

"We have no way to come up with that much money, and Bush knows that," she said. "He is doing this on purpose so we don't ever become legal residents."

The march passed through one of most heavily Hispanic districts in downtown, collecting people who had come to do their weekend shopping. Stopping at City Hall, protesters danced to beating drums and listened to immigrant rights speakers.

Alfredo Gonzalez, 33, an illegal immigrant from Mexico, marched with his wife and daughters, ages 6 and 8. He said he fears the stepped-up immigration raids happening across the country.

"If they kick me out, who is going to take care of my daughters? The government? I don't think so," said Gonzalez, who works in construction. "We need full legalization and we need it now."

The White House plan is far more conservative than the one passed by the Senate last year with bipartisan backing and support from President Bush. That plan would have allowed many of the country's illegal immigrants to stay in the United States, work and apply to become legal residents after learning English, paying small fines and back taxes and clearing a background check.

Many Senate conservatives opposed that plan. It failed to gain traction in the then Republican-controlled House, which at the end of 2005 passed a punitive immigration reform bill that angered immigrant communities and led to massive protests.

Many protesters said they were frustrated that immigration reform hadn't been passed, despite all the protests and activism in immigrant communities over the last year.

Rocio Estrada, a 24-year-old illegal immigrant from Mexico, said she wanted to attend nursing school but couldn't afford it because she couldn't get financial aid without legal residency.

"We just came here for a dream," she said, holding her 4-year-old son. "The more they deport people the more we are going to come back."