Hello Brian good day,
With AC Out disconnected it doesn't happen.
I used a dummy load instead of the house and it still gave me the GFCI Fail.
I ran a new DC test cable to each solar array (4 in total) to rule out isolation problems in the wiring, and the GFCI Fail happened with each of them.
So I'm still at the same situation, only being able to charge batteries with the PV in Off Grid III mode.
I haven't seen the grounding setting you are telling me in the SolarPower software.