Description of problem:

In the situation around https://issues.redhat.com/browse/ACM-21185 , the logs indicated that when looking up a desired resource, a "context deadline exceeded" error was handled as a missing resource, instead of as an error. We need to handle it properly, likely by just erroring the reconcile and not updating the status. 

Version-Release number of selected component (if applicable):

How reproducible:

Very difficult, you might need to forcibly take the API server offline temporarily to trigger this.

Steps to Reproduce:

1. N/A

Actual results:

When this error occurs, a resource may be marked as missing when it is not.

Expected results:

When this error occurs, the config-policy-controller should not update any status.

Additional info: