The executive order represents a regulatory overreach with moderate threat potential. While the policy itself is not inherently authoritarian, the centralization of executive power to influence state-level policies through contractual obligations raises concerns about power consolidation. The order's use of broad implementation authority and revocation of prior directives without legislative input could set a precedent for future executive overreach. However, it does not explicitly violate constitutional provisions or demonstrate clear democratic erosion. The most concerning aspect is the potential for expanding executive authority into areas traditionally governed by legislative and state processes.