I don't like to pick on the President. Lord knows there are enough people who hate his guts and are trying to bring down his Presidency. I'm not among them. I like the President, support the War, want him to succeed.
But sometimes, he and his Administration do things that are just bone stupid.
And this is about the most egregious example.
I think you are correct that this is just stupidity on the part of the President and the Administration. I think they are trying to be sensitive to the "feelings" of a minority and ended up painting themselves into a corner...taking an anti-freedom position.