Hard to say until it happens but it might be paving the way for that to happen, from the article:
“Such remediation could include actions from refreshing the assurances to suspending any further transfers of defense articles or, as appropriate, defense services,” it says.
So the executive branch does have a lot of leeway in how it distributes foreign aid allocated by congress, but not unlimited. For instance when Trump unilaterally blocked allocated aid to Ukraine during his presidency, he likely violated the law and eventually did have to release the aid allocated by congress anyways.
Setting up regulations like this beforehand could be an attempt to create a legal basis to stand on later if aid is withheld to Israel or other countries.