This announcement was made during Biden's visit. I do not think it is a coincidence that it was made almost immediately after Biden's attempt to tie Israel's hands with respect to a strike againt Iranian nuclear facilities, while at the same time reneging on the strong sanctions that the US promised to impose against Iran. The US (and the world) continues to fiddle while Rome burns. The houses in East Jerusalem are moot compared to the real issue: stopping Iran from ever gaining nuclear capabilities.
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Alleged assailant behind officer's stabbing in north to remain in custody for 4 more days (Haaretz)
from the article: How did U.S. groups react to Biden's condemnation of Israel?