To be honest I haven't seen too much evidence of Ulfric being racist. I believe him to be more a tyrant than an actual racist. People like to mention the segregation present in Windhelm, but if Ulfric were truly a racist, why not just kick them all out and be done with it. He certainly wouldn't allow elf vendors in his marketplace would he? Yet he has three. In fact, the only Nord shop owner I count in Windhelm is the Smith there and maybe the lady who sells food. This is evidence for me to the contrary. The Argonian Assemblage? Are not Argonians the most familiar race around water in Tamriel? The fact they are fantastic dock workers and are concentrated at the docks only makes perfect sense to me. There are argonians present at both the Riften and Solitude docks, see my point? The Grey Quarter wasn't named by Ulfric Stormcloak either. Let's not forget he allows them there in the first place as refugees from Morrowind. It's poor shoddy state isn't a reflection of racist neglect in my view, just simple neglect in general. One only has to wander around Windhelm to notice that building maintenance is poor compared to that of the other major cities. This is due to the fact that the Jarl spends any available monies on the war effort rather than city upkeep. Again,a misguided way to rule but a racist one, not too sure about that. In the end, everybody including Nords suffer under Ulfric's rule and the events at Markarth give only more credence to what I'm trying to say. Asshole doesn't equal racist.
He only helps nords, he sends the guards when a nord village is in trouble but dark elf refugees? a khajit caravan? Argonians?
He does nothing.
Go and trade with Khajit caravan. Tell me what do they have for sale. Moon suggar and Skooma? But i thought they just told you how they are unjustly treated as drug dealers?
Argonians in the docks, what do they admit openly? That they are stealing from the docked ships and they hate Nords.
Now go and talk with a few dark elves, the one siting in front of New Gnissis and the one who owns the farm. Tey say that Dunmer dont do enough and only complain.
The opening scene, about imperial spies, remember that? Well go to New Gnisis and climb up a floor or two. Is that an imperial armor on the shelves?
Nice, now go to the marketplace, talk to Niranye or whatever she is called, the high elf. Ask her how is she treated? Even though she is a high elf, and thalmor are.... what..?
Also take a look at her house, one of the biggest in Windhelm. Oh yes, and what does she say about dark elves?
And one more thing, what do Dunmer do for the city which took them in after Red mountain exploded and saved their lives. Are they fighting in the Stormcloaks? Isnt that the only reason the Stone-fist guy doesnt like them? Because they dont help in the war? They say "its not their figt". Well if a war which includes city you live in for many years, which practicaly saved your life and you dont fight for it nor even consider it "our fight" then I dont see how you can yell about unfair treatment. If you dont see this fight as yours then I dont see you as belonging here.