Why Collections / Roles From requirements.yml Not Downloading After Upgrading To Ansible Tower 3.8 ?

Issue

Even with Role and Collection Download enabled in Ansible Tower settings and with a valid requirements.yml file in the project root (roles/requirements.yml , collections/requirements.yml). The requirements.yml roles, collections download is being skipped during project update.

Updating the project manually shows the requirements.yml file detection being skipped.

TASK [detect requirements.yml] *************************************************
task path: /tmp/awx_5892_b2tcl2dj/project/project_update.yml:172
skipping: [localhost] => {
    "changed": false,
    "skip_reason": "Conditional result was False"
}
TASK [fetch galaxy roles from requirements.yml] ********************************
task path: /tmp/awx_5892_b2tcl2dj/project/project_update.yml:177
skipping: [localhost] => {
    "changed": false,
    "skip_reason": "Conditional result was False"
}
TASK [detect collections/requirements.yml] *************************************
task path: /tmp/awx_5892_b2tcl2dj/project/project_update.yml:196
skipping: [localhost] => {
    "changed": false,
    "skip_reason": "Conditional result was False"
}
TASK [fetch galaxy collections from collections/requirements.yml] **************
task path: /tmp/awx_5892_b2tcl2dj/project/project_update.yml:201
skipping: [localhost] => {
    "changed": false,
    "skip_reason": "Conditional result was False"
}
META: ran handlers
META: ran handlers