Transactional-update woes during conversion on Tumbleweed SELinux

Hello, friends. I have a Tumbleweed install that I am very close to getting back into transactional-updates after a restoration from a tarball. I can’t for the life of me figure out what is going on here but have traced it to a particular source file in tukit - see here, in particular /lib/Transaction.cpp. It builds up a list of directories in the snapMount function and /var/lib/selinux is one. I will provide system details further below. For the record, I had transactional-updates operational on a fairly custom install of Tumbleweed prior. I thought this was some issue with mktempfs but turns out it is occuring in that particular source file.

***:/home/**** # transactional-update dup 
Checking for newer version. 
transactional-update 5.5.0 started 
Options: dup 
Separate /var detected. 
ERROR: filesystem error: cannot create directories: Operation not permitted [/tmp/transactional-update-FZjPF4/var/lib/selinux]
...

Once I get the golden first success into a read-only snapshot, my system is basically back where it was. I am not a fan of handling snapper things manually for the time being.

/dev/mapper/cr_root                        /                              btrfs  defaults,subvol=/@                       0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1 /var btrfs subvol=/@/var,x-initrd.mount 0 0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /var/.snapshots                btrfs  subvol=/@/var/.snapshots                 0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /var/lib/machines              btrfs  subvol=/@/var/lib/machines               0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /var/lib/machines/.snapshots   btrfs  subvol=/@/var/lib/machines/.snapshots    0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /usr/local                     btrfs  subvol=/@/usr/local                      0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /srv                           btrfs  subvol=/@/srv                            0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1 /root btrfs subvol=/@/root,x-initrd.mount 0 0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /opt                           btrfs  subvol=/@/opt                            0  0
/dev/mapper/cr_home                        /home                          btrfs  subvol=/@/home                           0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /boot/grub2/x86_64-efi         btrfs  subvol=/@/boot/grub2/x86_64-efi          0  0
UUID=19b70809-f196-41df-8353-aea0a02575d1  /boot/grub2/i386-pc            btrfs  subvol=/@/boot/grub2/i386-pc             0  0
UUID=24A0-FCE1                             /boot/efi                      vfat   utf8,fmask=0077,dmask=0077               0  2
/var/swap/swapfile none swap defaults 0 0
/dev/mapper/cr_root                        /.snapshots                    btrfs  subvol=/@/.snapshots                     0  0
proc                                       /proc                          proc   nosuid,nodev,noexec,hidepid=2,gid=proc   0  0
# bind mount for /var/lib/wtmpdb since readonly database errors are occuring as-is
/srv/data/wtmpdb                           /var/lib/wtmpdb                none   bind                                     0  0

/etc /etc none bind,x-initrd.mount 0 0

tmpfs     /tmp            tmpfs  size=25%,uid=root,gid=root,mode=1777,noexec  0  0

GRUB_CMDLINE_LINUX="root=/dev/mapper/cr_root plymouth.enable=0 loglevel=0 security=selinux selinux=1 enforcing=0 net.ifnames=1 biosdevname=0 slab_nomerge slub_debug=FZ init_on_alloc=1 init_on_free=1 page_alloc.shuffle=1 pti=on randomize_kstack_offset=on vsyscall=none debugfs=off oops=panic module.sig_enforce=1 lockdown=confidentiality spectre_v2=on gather_data_sampling=force spec_store_bypass_disable=on tsx=off tsx_async_abort=full,nosmt mds=full,nosmt l1tf=full,force nosmt=force kvm.nx_huge_pages=force hash_pointers=always i2c_hid.acpi_force_power=1 resume=/dev/mapper/cr_root resume_offset=46457490 mitigations=auto,nosmt rootflags=subvol=@/.snapshots/446/snapshot systemd.machine_id=494df0033c5ad3748a474efd68747ab7"
# Configuration file for transactional-update
# See transactional-update.conf(5) for details

# Reboot method
# Valid values: auto rebootmgr notify systemd kured none
# Deprecated: kexec
#REBOOT_METHOD=auto

# Default zypper update method
# Valid values: dup up
UPDATE_METHOD=dup

# Import new repository GPG keys automatically
# Valid values: 0 1
#ZYPPER_AUTO_IMPORT_KEYS=0

I don’t think the crypttab would matter here, let me know if I missed any configs you may need.

Also, it is likely worth noting that there are no dangling files under the /var mount in case that comes to mind.