For the record, I'm in much the same situation as you. I'm your neighbor in New Mexico, where we have many illegals also. What makes this situation so different is that she has no problems with everyone at her school (which is a small rural school. Preschool-12 all in one place, about 250 kids total). And she had no problems when she played baseball, which was made up of kids from our school. It was when she was put on a city league that the problems started. THIS is how town kids behave.

I told the coach about the racial remarks, but I concentrated on her teaching the kids respect for one another.