Is it really that ridiculous?
Lets compare a hypothetical.
If few organizations and government employees in Japan were to boycott Taiwan over not surrendering to China and drag said organization's business decisions into it...
Do you think the government would just shrug at it?
Yeah, i would not be so sure about that. Governments are kinda sensitive about their international alliances, and generally aren't too happy about their employees and contractors openly trying to screw with their allies. Random minor institutions are not entitled to run their own foreign policy, its not that crazy to ask them to promise not to try.
The aid issue is definitely more reasonable to bring up, a lot of that is hidden subsidy to defense industry (most of that aid has to be spent shopping in USA), some is also cooperative programs for technological developments from which USA gets nice toys (Iron Dome), so there is a good non-ideological argument to at least rationalize that stuff and label is as what it is.
On the other hand, both the pro-Israel and more hilariously, vehemently anti-Israel side observers do agree that at least some of that military cooperation is guided by US self-interest (in the latter case they mean US self-interest as a bad thing of course), like here:
Battles in the US Congress that erupted again this week, holding up an extra $1bn in military funding for Israel, underscored just how divorced from - Jonathan Cook for Antiwar.com Original
original.antiwar.com
Seriously, if someone didn't know better they may think it was written by AIPAC.
TBH the right to self determination and concept of nation-states specifically exist to solve this kind of problems. And it is a timeless kind of problems - namely, multiculturalism not working. Its pretty common, and the most obvious solution is have random populations and subcultures that don't see eye to eye with others within the same state split off into their own, so that they can practice their own government, laws and ways, instead of trying to make compromises that will inevitably keep one or both group unhappy forever.