Time zines are established on longitudes at 15º intervals. In the contiguous mainland US these are 75ºW, 90ºW, 105ºW & 120ºW. States falling within ± 7½º on either side of each of these lines are part of that time zone, with a few alterations to account for the state boundaries. Thus roughly from 67½ºW to 82½ºW fall within EST - Indiana, Kentucky, Tennessee, Alabama.& those to the east.
It is the reason why as you cross from New Mexico to Arizona you need to change the time by 1 hour. Texas is the biggest state that spreads to & beyond 105ºW (Eagle peak onwards, beyond Big Bend), Normally it should be ahead of 1 hour of PST (don't you say "just two states away"; it is not the number of states one counts) but as the whole state has to conform to one time zone the time difference is kept at 2 hours difference.
"It is not gradual" as it is never meant to be. Why need the Technologists put that effort, when it is OK with everyone (except you) ? If it so, follow the Solar Time as they do in Saudi Arabia. Noon at a place is when the Sun crosses the Main local meridian, passing through the zenith & you set the watch for 12:00 at that moment..It can be done.
"Or is there a legit reason as to why there is such a strict difference no matter where in the state you are/how close you are to a different time zone?": The answer is it is a convention that all humans there have chosen to follow so that there is no confusion. In the same state it enables all to follow it so that meetings are held accordingly, Children attend classes accordingly in the school.
On the equator every 1 hour time zone is 1037½miles apart. In the Latitudes of mid USA these lines crowd in to 1/√2 of that or 733⅔miles apart (you need to set your watch after that distance on the average). If you are in the vicinity of Mt.Logan on the Alaska-Canada border a drive in east-west direction needs setting the watch by 1hour for every 518¾ miles apart. On the North Pole this distance is "zero". There are no Time zones there.
For your information everyone reads your question (perhaps you do that, it makes you think that everyone is like you & does that) even knowing that most of it is crap & the guy refuses to apply his mind. There is really no need for all that crap you squeeze out here. Like I said it is the longitudes that matter & not latitudes as you suggest in your text. Learn that. It is proof enough you don't understand time zones but you think you do . Point is - you don't know that you don't know.
If Gigapie has insecurity or whatever, it is none of YOUR business. Your business here is to learn something & not point fingers at people. If you can't or don't learn, leave ! If you are incapable of learning, God alone would or should help you. We all learn from each other without being presumptuous & learning (if at all you care to) is not possible with arrogance in tow. Chuck that out.