Tried to use the following text formula field for the current step value:
If( ISBLANK(TEXT({!recordId.Contract_Status__c})), "Not Started", TEXT({!recordId.Contract_Status__c}) )
When I ran the flow, I received the following error:
Conditional visibility rule error on currentContractStatusFormula field: Field recordId.Contract_Status__c is a picklist field. Picklist fields are only supported in certain functions. Tell me more.
I've verified the output of the formula is the string I need for the current step.