Hello Brian Kza,
Welcome to Microsoft Community.
After a thorough review of what you have posted here, I am able to note that the Surface Ergonomic Full-size Wireless Keyboard you have has a hardware failure, and that even if you update the driver to the latest version, The keyboard also suffers from typing wrong characters.
Therefore, the right thing to do now is to send this keyboard to the accessory support team for inspection and repair, including refixing the lost space bar, and they are the most professional in equipment repair.
I can direct you to how to reach them:
- Use your personal Microsoft account (not your organization account) to access the following links:
- Type Surface Ergonomic Keyboard, press Enter, and click "Contact Support" at the bottom:
- Select from the screenshot below and click Confirm:
- You will see contact options for Chat support and Phone support, please contact them during business hours:
I wish you all the best.
Best Regards,
Mitchell | Microsoft Community Support Specialist