I guess the idea of this particular one is that they would have to respond within 60 days and they would have to actually take an affirmative step in order to get permission to go beyond there, which they don't have to do right now. Right now, it's just sort of in limbo.
I agree with you that there are other mechanisms one could use in order to ensure that departments respond in a reasonable time. This particular one might be of assistance. It doesn't mean they'll always get the approval. If they don't get the approval, presumably they'd have to respond. I realize what you're saying: there's no penalty.