Version free variable error template?

I have a template that creates a virtual file.  I just updated a couple of the files on the data card to be version free. 

When I went to create the a new virtual file with the template we got an error before the datacard showed. I am signed in as the Admin User.

Then the data card popped up, I got this error.

How do I not have permission if I am signed in as the admin user.

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