NBU 7.0 - storage override problem

I just found out today NBU 7.0 was giving me (219)

I setup some policies using storage life cycle policy and I was getting the error above.  So I thought it maybe mis-configuration of the advanced pool disk and it was not -root has write priv on the adv pool.  I tried removing all the disk/tape drives and reconfiguring them again under devices, and then storage units.

When I created a plain vanilla policy with no schedule (schedule with nothing in it) and kicked off a manual backup it started working!
So when I created my storage lifecycle policy and the backup policy from scratch and kicked off manual jobs again the backup would stop.

So when I kept comparing the two policy - there was one main difference - storage policy override within the schedules.

This is how I configured my storage life cycle policy -
Weekly-Full
1. Backup to AdvPool 2 weeks
2. Duplicate to Tape 4 months retention
Daily-Incremental
1. Backup to AdvPool 2 weeks
2. Duplicate to Tape 1 month retention

So within the backup policy I defaulted to the WeeklyFull storage life cycle policy for the full backup schedule.
For the incremental backup schedule I use storage override and use the drop down to Daily-Incremental.
When I kick off a manual job and choose Daily-Inremental schedule to kick off, I get the error message from activity monitor:
"Storage Unit not available;  Storage Unit not defined in EMM when I override storage policy."

Does anyone know how to fix this problem?