Geo referencing - using the local Transform Method

I have set up Geo Referencing as per the recommendations from Bentley

https://communities.bentley.com/other/old_site_member_blogs/peer_blogs/b/marc_thomass_blog/posts/series-index-setting-up-in-the-real-world

Seem to work fine for referencing between Site and Project coordinates for models

However I am unable to get this to work for the Dynamic view creation.

I push the view to a drawing view,

Then reference this drawing into site model, I am offered the option of AEC transform however the transform does not work

Is there something I need to do to the drawingseed.dgnlib

Any other suggestions

Thanks