Why is Tower Setup Failing with FATAL: database <databasename> does not exist errors ?

Solution Verified - Updated -

Issue

Tower setup is failing with database does not exist errors.

......
conn = _connect(dsn, connection_factory=connection_factory, **kwasync)", "django.db.utils.OperationalError: FATAL:  database \"tower\" does not exist"], "stdout": "", "stdout_lines": []}

Environment

Ansible Tower

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