All of Skyrim is still technically part of the Empire unless Ulfric's rebellion is successful. Eastmarch, Winterhold, the Pale, the Rift, all of that is still Imperial territory.
True, but the issue is one of neutrality in the current conflict and whether or not that is even possible under the circumstances.
Holds that support Ulfric are in open rebellion and are held and defended (if need be) by Stormcloak troops. They are neither neutral nor pro-Imperial. Holds that do not openly support Ulfric are Imperial by default, because they remain part of the Empire AND are not rebelling against it; if the need arises, they will be defended and held by the Legion, IMO whether the local Jarl likes it or not, because they are part of the Empire and the Legion is there to keep it that way. I don't see Tullius sitting back and letting the Stormcloaks take and hold a vital position like Whiterun simply because the Jarl there is too "neutral" to ask him for help.
And Balgruuf can't really be neutral about it anyway, he can either rebel with the Stormcloaks or he can stick with the status quo which means the Empire. IMO not wanting the Legion in his city is not the same thing as being truly "stand apart" neutral, because I don't think such a thing is possible in his situation. Not actively supporting a rebellion against a political entity that you are already part of and subordinate to by default is not the same thing as observing a conflict between two factions that you are *not* part of at all and refusing to take a side. We tend to treat Balgruuf as though he's doing the latter and therefore "not Imperial" when this is not the case.
And I'm not trying to make Balgruuf look like a bad leader, not by any means, he's one of the Jarls I like best, I just think he's been idolized somewhat and the presumed neutrality thing is one reason why and I don't completely buy it for the reasons I've stated.


