Sounds to me like if the PA doesn't play ball then the ball is in Israels court. And the PA don't want to play that game.
Given
3 years to continue toward the possibility, not the actuality, of a provisional PA state that leaves much time for mayhem.
Watch for the immediate objection by the PA to the by-the-end-of-year elections.
Again, no U.S. favored 'stick' is mentioned explicitly.