Hello Chris Cross,
Apologies for the inconvenience this may have caused to you.
I even tried re-registering the agent and set a new passphrase. I see where backups are being made locally but nothing shows in the recovery vault.
You mentioned that you have tried re-register the agent with the new passphrase. but it should be done with the same passphrase that was originally used during registration.
Please follow the same and let us know the results.
Note:
- make sure if you have antivirus software installed on the server, Ensure the MARS agent is excluded from the antivirus installed on the machine.
- Don't ignore to check for Proxy on the server. if you find any proxy please remove it.
here are the steps to verify the proxy from control panel.
Click Start > Control Panel > Network and Internet > Internet Options > Connections tab > LAN Settings> look for the proxy server check box> If you find any proxy removes it and click ok.

And if the above steps don't resolve the issue, uninstall the agent completely and reinstall it using the latest installer. However, before going to reinstall the agent, follow these steps.
- Ensure .NET Framework 4.5.2 or later is installed on the server
- Verify MARS Agent version
- Remove all the dependencies of old version of MARS agent (registry keys, services and folders C:\Program Files\Microsoft Azure Recovery Services Agent).
- Update .Net Framework and MV C++ 2008
- Remove regkeys, as mentioned in this article
- Disable UAC by following the below steps and restart the server again
- Click the Start menu.
- In the search field type UAC.
- Click "Change User Account Control settings"
- In the window that comes up, move the slider down to "Never Notify"
- Click OK.
- If you see error regarding any provider missing, then install the missing provider before agent installation process and reinstall the MARS agent.
- Check if the PowerShell version is not latest then it is necessary to update Windows Management Framework and Microsoft .NET Framework to the latest version. To download the latest versions use below links:
- After upgrading the versions restart the server.
Then download the latest version of the MARS agent from the Azure portal. Install the agent by following the installation wizard instructions. and reconfigure your backup settings using the information you noted down earlier. Then Re-register the Server.
Please try the above all steps and let me know the results.
Thanks