White House envoy Jared Kushner met with Israeli Prime Minister Benjamin Netanyahu for hours Monday, yielding an agreement to establish two working groups for disarmament and public health in the Gaza Strip, according to the Board of Peace and the Israeli leader’s office.

The meeting came a week after Netanyahu publicly rejected a 15-point plan negotiated by the United States with Hamas, which agreed to hand over its weapons as part of a roadmap that calls for Israel to withdraw its troops from Gaza.

“We’ve made a lot of progress to get here,” Kushner said Monday on Fox News. “For Israel we think this is a win-win situation because if Hamas actually gives over the weapons and the tunnels willingly over the next 60 to 90 days that obviously would be the elimination of a huge security threat for Israel, almost an unthinkable achievement.”

Kushner’s comments and the two readouts of his meeting seemed to show the Board moving toward Israel’s wide understanding of the definition of disarmament, which appears in conflict with Hamas’ more narrow interpretation. The gap underscores the difficulty in getting a final agreement that all three parties can agree to, despite the progress in establishing the working groups.

“It was agreed that there will be no [Israeli Defense Forces] redeployment from Gaza until Hamas is fully disarmed and all of Gaza is demilitarized – every weapon, light and heavy, and every tunnel,” the Board of Peace said in a statement.

An official familiar with the talks, granted anonymity to disclose details, confirmed Board of Peace envoy Nickolay Mladenov and former British Prime Minister Tony Blair attended the meeting with Netanyahu as well.

The White House and State Department referred questions on the meeting to the Board of Peace.

Kushner visited Jerusalem a day after he met with Hamas leader Khalil al-Hayya in Cairo.

The Board of Peace roadmap, published this month, called for Hamas to disarm and relinquish control in Gaza to a National Committee for the Administration of Gaza, which the Board of Peace oversees. The Israeli military would withdraw its troops from Gaza in return. Hamas official Ghazi Hamad told POLITICO last week he understood the roadmap to entail “storage of heavy weapons” under NCAG. When he rejected the roadmap, Netanyahu said Israel will not withdraw from the enclave until Hamas has been “genuinely disarmed.”

Another Hamas official, granted anonymity to frankly discuss negotiations, told POLITICO that he saw a difference in the terms of disarmament between the roadmap Hamas signed and the Board of Peace’s statement Monday. While Hamas described storing heavy weapons, the Board of Peace comment envisioned decommissioning all weapons, both light and heavy, as well as tunnels.

The Monday statement from the Board of Peace “suggests a metric that is rather absolute and likely impossible to achieve” on disarmament, said Robert Danin, a former career State Department official and previous head of Blair’s Quartet Mission in Jerusalem. “It requires the removal of every pistol and every tunnel before Israel withdraws from Gaza. And presumably the discovery of either would be grounds for Israel to halt or perhaps not begin to withdraw from Gaza.”

U.S. allies see Israeli Prime Minister Benjamin Netanyahu’s rejection of Washington’s 15-point plan for Gaza as undermining confidence in the Board of Peace — and in the Trump administration’s ability to influence the Middle East more broadly.

It increasingly appears that the U.S. either doesn’t have — or isn’t willing to exercise — the leverage needed to deliver on Gaza, a number of diplomats and others familiar with U.S. strategy in the region told POLITICO. And that has them concerned about U.S. efforts at negotiations across the region.

“Netanyahu’s rejection of the peace plan carries significant implications for long-term regional stability and Israeli security,” said an Arab diplomat familiar with U.S. policy in the Middle East. “President Trump is the only one to have the potential to influence this situation, as he could seek to reassert his political relevance by pressuring Netanyahu to reconsider his position.”

Netanyahu’s defiance adds to the growing list of woes Washington faces as it struggles to reshape the Middle East, from ending the Iran war to winding down the conflict between Israel and Hezbollah in Lebanon.

The Arab diplomat warned: “Arab and regional leaders may find themselves in a complex position, needing to balance their interests amid these evolving dynamics.”

Netanyahu disavowed the White House-backed peace plan for Gaza on Sunday, declaring that Israel requires Hamas to have “genuinely disarmed” before it withdraws its troops from the territory. That hard line could further threaten the viability of Trump’s Board of Peace, a 27-country initiative formed as part of Trump’s deal last year to end the war between Israel and Hamas in the Gaza Strip.

“The Board of Peace has a distinct limp to its gait at the moment,” said Robert Jordan, who served as U.S. ambassador to Saudi Arabia during the George W. Bush administration.

“It never appeared to be a broadly based, highly viable substitute for the United Nations,” he added, referring to Trump’s assertions in January that the board could be used as an alternative to the world body. “That’s compounded by the political situation in Israel at the moment.”

The Board of Peace declined to comment, but an official with the organization insisted that work is continuing apace, with Israel’s buy-in. The official pointed to a logistical support area under construction that is meant to serve hundreds of troops expected to deploy to Gaza as part of the international stabilization force envisioned by the board.

“The roadmap is between the Board of Peace and Hamas,” said the board official. “Separate discussions with Israel are continuing. Israel is not being asked to rely on trust or to make irreversible moves before verified steps are taken on the ground.”

The official, like others, was granted anonymity because of the sensitivity of the negotiation process.

A Western diplomat familiar with Middle East policy argued Netanyahu’s action is a sign that U.S. strategy toward Israel is misguided.

“This latest rejection once again shows that appeasing Israel only leads to more maximalist demands,” the diplomat said. “I don’t think it kills the [Board of Peace] but what it does do is once again show that Israel remains one of the obstacles to a viable two-state solution.”

Trump has avoided clashing publicly with Netanyahu over the roadmap, telling reporters Monday that he had a “good relationship” with the Israeli prime minister even though Netanyahu rejected the U.S. proposal. The White House declined to comment further on Israel’s rejection of the deal.

A Trump administration official, granted anonymity because they were not authorized to discuss the issue publicly, said the White House doesn’t see Netanyahu’s action as derailing the peace process at all.

“Broadly speaking, we see this as election-posturing by Bibi for a domestic audience,” the official said. “The [Board of Peace] has actually been getting good cooperation on the ground as of late. So that’s what’s important.”

Netanyahu’s rejection of the road map comes as his popularity has been eroding in Israel ahead of an October parliamentary vote that could lead to his unseating.

In Europe, some governments are still holding out hope that the Board of Peace can rescue the Gaza peace process.

“I extremely appreciate the work of chief negotiator [Nickolay] Mladenov on behalf of the Board of Peace, his achievements in the 15-point plan are absolutely substantial,” said Hildegard Bentele, a center-right German lawmaker in the European Parliament. He said he was confident the U.S.-led effort would make progress “if re-submitted after Israeli elections and targeting the core point of full weapons’ decommissioning.”

Others with experience in the region said that Netanyahu appeared to be successfully pushing the Board of Peace in a direction more favorable to Israel.

Netanyahu’s actions are “testing the tolerance of the American or Board of Peace team,” said Nimrod Novik, who served as senior diplomatic adviser to former Israeli Prime Minister Shimon Peres and is now a fellow at the New York-based Israel Policy Forum.

“It’s really a Trump personal enterprise,” said Zaha Hassan, who advised the Palestinian negotiating team during its bid for U.N. membership from 2010 to 2012 and is now a fellow at the Carnegie Endowment for International Peace. “So if it can’t get Israel to stand down in Gaza, to withdraw, to allow the Board of Peace to do its work, how can any other regional actor believe that the U.S. can restrain Israel in their neighborhood?”

A European diplomat said the disillusionment with Trump’s sway in the Middle East was already evident in his failure to wrap up the war in Iran quickly.

“The solution is not as close as anticipated or as Trump told us at some point. I think Trump is losing credibility,” said the diplomat, granted anonymity because they weren’t authorized to discuss the issue publicly. “Everything seems to be in limbo and in a high degree of uncertainty that affects us all.”

Jerry Wu, Megan Messerly, Myah Ward and Nicholas Vinocur contributed to this report.