permissions.disableBypassPermissionsMode "allow-auto-only" incorrectly enables "Allow all" in Local and Copilot harnesses in VSCode
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Description
According to the documentation on restricting [allow all options ](https://docs.github.com/en/copilot/reference/copilot-cli-reference/cli-command-reference#restricting-the---allow-all-options), administrators should be able to set `disableBypassPermissionsMode` to `allow-auto-only` to enable "AI Assisted permissions" mode without enabling "yolo mode" features.
This works perfectly as expected in GHC CLI and GHC App. It is broken in VSCode in two ways:
1. When using the "local" harness, it incorrectly enables "Allow All"
2. When using "copilot" harness, it incorrectly allows "Allow all" to be selected, but copilot will return an error when it attempts to run a command. This is mostly a visual defect but should also be fixed.
- Copilot Chat Extension Version:
- VS Code Version: v1.135.0+
- OS Version: MacOS, Windows, Ubuntu
- Feature (e.g. agent/edit/ask mode): Agent mode
- Selected model (e.g. GPT 4.1, Claude 3.7 Sonnet): Any
- Logs:
Steps to Reproduce:
1. Apply `{ "permissions": { "disableBypassPermissionsMode": "allow-auto-only" } }` in `managed-settings.json`
2. Restart VSCode
3. Switch to "Allow All" while "local" is selected
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