Leaving breadcrumbs to update this post. Found these two posts on reddit.

https://www.reddit.com/r/sysadmin/comments/plq1hw/heads_up_windows_server_2022_kms_host_keys_seem/

https://www.reddit.com/r/sysadmin/comments/suqn1l/update_fixed_windows_server_2022_kms_host_keys/

The error we were receiving on the client was:

The client has sent an activation request to the key management service machine.
Info:
0x80072AF9, 0x00000000, <redacted>:1688, <redacted>-<redacted>-<redacted>-<redacted>-<redacted>, 2022/07/14 19:42, 1, 1, 258969, <redacted>-<redacted>-<redacted>-<redacted>-<redacted>, 25

Resolution:

Launch Volume Activation on Server 2022 KMS Server and run through the process to install a new key, and just put the same key back in after you apply the current patches. This was done before July 2022 patches were applied.

After performing these tasks verify that the failed requests will now be processed by the KMS server.