MicroStation XM Clip Boundary Causes fit view to become huge

I start a 3D file.

I reference in a 2D file.

I place a fence and clip the boundary.

On a fit view, the extents are like the entire design cube. I mean huge.

If I undo the clip then fit view works normally.

Is this a known issue?

Is there a fix? (Besides moving up to the latest version)