They are saying she would be considered for the team, but would they actually do it?
Based on the FIG's qualification procedures, there were 3 opportunities for most countries to earn a maximum 2 additional spots:
One way to earn spot(s) for the country to award to a gymnast of their choosing
1) the AA World Cup Series (invitation only to top countries from worlds) - 3 spots available; and
One way to earn a nominative spot awarded to the gymnast who earns the spot
2) Individual Event Final World Cup Series (1 spot per event, 4 total)
One way to earn a nominative spot (if your country didn't qualify) or a non-nominative spot (if your country qualified)
3) Continental Championships (2 spots available)
Once a country has earned their max 2 additional spots, literally - the day they earn that 2nd spot - they can't attempt to earn a 3rd, even as a backup should something go wrong with a gymnast who earned a nominative spot.
Due to Covid, the AA World Cup Series was cancelled in February 2021 and the 3 spots were awarded to China, US and Russia on the basis of those countries finishing 1-3 at the 2019 World Championships.
Due to Covid, the order of the specific events comprising AA World Cup Series, Continental Championships and the EF World Cup Series was altered. For example, without Covid, the EF World Cup Series would have been completed prior to the Continental Championships.
However, the FIG has stuck with the original order in which these events would have happened for the basis of awarding the the EF World Cup spots and determining whether or not a country was eligible to attempt to earn a spot at a Continental Championship.
Jade has built up an insurmountable lead on Vault in the EF World Cup Series. So when the EF World Cup Series is over after the Doha World Cup (in 3 weeks), she is deemed as having earned that spot prior to Pan Ams (happening now), which are the Continental Championships where the US could have attempted to earn a 2nd non-nominative spot.
So....if Jade had NOT earned her EF World Cup Series nominative spot, the US could have earned a non-nominative spot at Pan Ams.
This means that if Jade is placed on the team, the US will only send 5 not 6 to Tokyo. So someone else who could have been an Olympian will not get to be because Jade blocked the US from earning a usable 6th spot at Pan Ams.
Scandal ensues!