Local Pattern Failure with Sketch driving

I have an anchor bolt assembly placed into a frame installation assembly. This anchor bolt assembly is then patterned by a local sketch in the installation assembly. Rebuilds fine every time, but has the triangular icon indicating it is failing. Is this a regular issue with 2016? I have checked the sketch and nothing fails within anything but the pattern. It also retains a extra instance of the anchor bolt assembly that would throw the BOM off by qty 1 also. Any ideas? Thanks.

SolidworksAssemblies