I always have a moral delema on this quest because both sides have goods and bads. Even though the NCR's envoy was attacked, that doesn't mean the entire community should be punished, but the NCR could still provide help to all the locals if peace is made. What are your thoughts?

Choose the peaceful resolution.. NCR and the Kings will eventually come to terms.. with each other..
The people who actually have the best interest for freeside imho are the followers of the apocalypse..

It depends entirely on your ending on which choice is the best.

-Independent does depend entirely on you
-Mr. House still wants a good relationship with the NCR so a peace between them and the Kings is the best
-NCR would obviously want themselves to come out on top
-The Legion want Freeside to be weak so it won't give much resistance, this is where you support the Kings and kill the NCR troops

What moral dilemma? The NCR intended to make the supplies available to everyone in Freeside but didn't due to a misunderstanding. Resolve the misunderstanding and it works out best for everyone involved. There's no losers if you pick that option. The only reasons to ever resolve that quest differently are if your roleplaying an [censored] or someone who hates the NCR.

Doesn't house kill off the kings if you side with the NCR

I just looked through the ending slides on the wiki and you're right. I thought that House would have wanted to keep a good relationship with the NCR since they are New Vegas' biggest customer. Inciting a war between the two sides is also the way to go for House then.

Well he wants a good relationship with the wealthier NCR citizen's. He probably doesn't want the poor NCR citizens to crowd up the slums, making vegas less welcoming and draining more electricity and power that he could be selling to the NCR.

House doesnt care for the Kings, and if he is gonna be against the NCR in the future, then he deems them a threat and kills them.

Well, I chose the peaceful solution. Both the NCR and Kings worked together after I was done with that quest. YET the ending slide showed that House killed of the Kings anyway! Another point against House (I also had to blow up the BoS bunker, not good, not good at all). House will pay for these transgressions in my current game! LOL

Theres no moral dillemma.

The Kings a good guy who wants the best for freeside. Unfortunately Pacer is in his gang and he's a idiot.
The ncr want to help all, Pacer messes it up, so it's only ncr citizens that get helped.

So make peace with them, distribute the aid, and it goes how the King and the ncr want it. Everyones happy.

The rest is main quest business.

House killing them is expected, they're his enemies and he drove off all who would'nt join him when he expanded.
You kill all your enemies for the best results, so fair enough.

House does'nt care about the ncr, he just wants customers. And the NCR is the biggest, most powerful faction and republic around.
He'll let most people in, so long as they've got the money.

you do realize if you make peace with NCR and Kings House will kill the Kings. I killed myself after finding that out.

Refer to post 6.

house ultimately considers the ncr as an enemy. anyone siding with his enemy (if you make peace between the kings and ncr) will have to be removed. if you go with house, and like the kings, don't make peace with the ncr.

independant and legion playthrough's do what you want.

ncr, obviously do what ncr wants (peace the best option).

there might be a short term moral dilemma, but when looking at the long term results, it really is easy to choose. i too was a little blindsided when house killed the kings, but i like that about FNV, unintended consequences for doing what 'seems' right. there should have been a little dialogue from house to cue you in to what the result would be, but hey, live and learn.

while peace (between any faction) always seems like the right way to go, sometimes it's best to kill your enemies when they're down. weak enemies want peace, but what happens when they get stronger? will they still be peaceful?

If you are allied with Yes Man or NCR, do King's Gambit (NCR quest), and make a peaceful resolution between NCR and Kings.

If you are Legion or House, make the tensions worse and have the Kings continue to fight the NCR.