Require Password Change at next login not working

I have Server 5.0.15 installed on mac mini with OS X 10.11.3

Services running are only DHCP and OD

When local network users are created they authenticate and work fine. However if you reset a users password and select Require password change at next login, when the users login it will accept the temporary password, and bring up the Reset password box with new password and verify password but not matter what is entered when you click the Reset Password button it just shakes and does not change or even give you an error message.

This is clean install of OD, nothing imported, brand new mac mini with nothing additional installed but Server App.

Any advice would be greatly appreciated.