Hi @Paul Hernandez , welcome to Microsoft Q&A forum.
I tried to follow the steps mentioned by you and was able to reproduce the issue exactly as you mentioned.
I was trying to look for solution and I found a similar issue logged as below:
Azure SQL Drop and Create AAD User During Every Deploy - FOR EXTERNAL PROVIDER
Solution of it mentioned to install latest versions of VS and SSDT. After I updated both and tried to generate the script I was able to generate it properly. I then ran the script successfully on target database as well. Please check the below screenshot for the same.
You can go to Visual Studio Installer and update the VS and SSDT. Below is the link for SSDT update:
Please let me know if this helps or else we can discuss further.
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