Problems with "Sleep" function in Monterey 12.3 on M1 2021 iMac, and workarounds

I have observed the following problems with the three different "Sleep" functions (display "Sleep", Apple menu "Sleep", and logon screen "Sleep") in Monterey 12.3 on our week-old M1 2021 iMac. Our Time Machine drive is an Iomega 1 TB Firewire 800 drive, and we have an external LG Ultrafine second monitor. I've noted a lot of detail because what happens is not very straightforward.

1. If the Energy Saver "Turn display off" option is set to some time value and the time value expires and the display goes to sleep, and an hourly Time Machine backup then occurs while the display is asleep, the TM backup will ALWAY fail with a "Time Machine couldn't complete the backup..." error on a particular file (most often with the "LaunchServices-3027-Vw.csstore" file), even if the Energy Saver "Put hard disks to sleep when possible" option is NOT selected.

2. If the Energy Saver "Turn display off" option is set to "Never", and the "Sleep" option on the Apple menu is selected, any hourly TM backup that occurs seems to ALWAYS fail with a "Time Machine couldn't complete the backup..." error on a particular value (most often with the "LaunchServices-3027-V2.csstore" file), even if the Energy Saver "Put hard disks to sleep when possible" option is NOT selected. Once the iMac awakens, the previous (unfailed) hourly TM backup is erroneously flagged with a red exclamation point on the Time Machine scream, but then the failed hourly TM backup automatically resumes and removes the red exclamation point.

However, if the Mission Control "Displays have separate Spaces" option IS selected, the hourly TM backup will SOMETIMES run successfully while the iMac is asleep.

If the Energy Saver "Turn display off" option is set to some time value other than "Never" (such as 3 hours), and the "Sleep" option on the Apple menu is selected, any hourly TM backup that occurs is SOMETIMES simply suspended until the iMac awakens, and then starts up when the iMac awakens). Sometimes it fails with a "Time Machine couldn't complete the backup..." error on a particular value (such as the "/private/var/db/diagnostics/Persist/00...00e4.tracev3" file). If the hourly TM backup error occurs on this "tracev3" file, once the iMac awakens, the PREVIOUS (unfailed) hourly TM backup is erroneously flagged with a red exclamation point on the Time Machine screen, and the failed hourly TM backup does NOT automatically resume. However, a manual hourly TM backup at that point works fine and removes the red exclamation point. Still other times, the hourly TM backup fails on the "csstore" file noted above, with the same behavior noted above.

3. If the Energy Saver "Wake for network access" option is NOT selected, and the "Sleep" option on the logon screen is selected to put the iMac to sleep overnight, the iMac will reboot sometime during the night with a "restarted because of a problem" error and the Problem Report will indicate "Attempting forcibly halt cpu 0".

So far, I have discovered one solution, one workaround, and one non-workaround:

1. The only workaround to prevent an hourly TM backup failure when the display goes to sleep (triggered by an Energy Saver "Turn display off" value) is to set that value high enough (say 3 hours) or to "Never" so that the "display" is rarely or never triggered to turn off, and use a screen saver.

2. If the "Sleep" option on the Apple menu is selected, the hourly TM backup will sometimes fail (as noted above). I have no workaround for this (yet).

3. If the Energy Saver "Wake for network access" option IS selected, and the "Sleep" option on the logon screen is selected to put the iMac to sleep overnight, the iMac will NOT be rebooted during the night, and typically 1 to 3 hourly TM backups may occur after the iMac is put to sleep, but hourly TM backups will be suspended during the night and 1 or 2 hourly TM backups may occur before the iMac is awoken in the morning.