After searching through many posts on here, yet not finding a solution to our problem... We solved it, and I wanted to share the solution at our location just in case someone else is out there with a similar issue.
The error began to show up after a SP update, since I believed it to be toolbox related I began searching through all things toolbox... our simple solution here was the Hole callout Format File in File Locations was pointing at the wrong location.
SolidworksToolbox