INFO Daemon Waiting for cloud-init to copy ovf-env.xml to /var/lib/waagent/ovf-env.xml [1800 retries remaining, sleeping 1s]

Question

I uploaded VHD file to Azure and created a Linux Gen 2 Image from it. Then I created an Azure Virtual Machine from the Image and it started up just fine. I then created a new VHD file and uploaded it.

I created a new Linux Gen 2 Disk from the VHD blob. Stopped the Virtual Machine previously created and did a Swap OS disk to the new Disk and then started the Virtual Machine. The new Virtual Machine keeps trying to get access to a copy of ovf-env.xml:

Mar 22 18:02:03 localhost python3[2036]: 2021/03/22 18:02:03.965793 INFO Daemon Waiting for cloud-init to copy ovf-env.xml to /var/lib/waagent/ovf-env.xml [1800 retries remaining, sleeping 1s]
Mar 22 18:02:03 localhost python3[2036]: 2021/03/22 18:02:03.975006 WARNING Daemon cloud-init does not appear to be running

I have read in other postings about running 'waagent -deprovision' to deprovision the VHD, but that does not seem to match my issue. (Not sure how I would deprovision a VHD that has never been provisioned.)

I am missing something with the Swap OS Disk operation that causes cloud-init to wait for the ovf-env.xml, which apparently is never going to show up. Does anyone know what step(s) I failed to do?