Spoke cluster has MachineConfig policy violation after deployment. All configurations and policies are applied successfully, except machine config.

OCP: 4.14.0-0.nightly-2023-08-28-154013
gitops operator: 1.9.1
Topology Aware Lifecycle Manager: 4.14.0
multicluster engine for Kubernetes: 2.4.0-136
Advanced Cluster Management for Kubernetes: 2.9.0-119

1. Deploy hub cluster
2. Configure ZTP
3. Wait for deployment to complete

All policies are complient except xr11-machineconfig-config-policy-config.

Policy reports: Resource not found but should exist.
Details:
[{"Compliant":"NonCompliant","Validity":{},"conditions":[{"lastTransitionTime":"2023-09-01T09:28:14Z","message":"machineconfigs [10-oot-ice-gnss] not found","reason":"K8s does not have a `must have` object","status":"True","type":"violation"}]}]

I don't see enforce policy being created, not on initial deployment nor on cgu re-creation.

MachineConfig successfully applied

Policy can be found here: https://gitlab.cee.redhat.com/agurenko/mavenir-ztp/-/blob/airtel-4.14/policygentemplates/xr11-mc.yaml