This setting that you mention modifies how the replication server is started, for local/dev.
When is this happening for you? Within the editor? On builds? What replication server is the game connecting to? Editor-started, cloud or client-hosted (launched via the game itself)?
This happens when running in Editor with Player 2 on a virtual machine.
In case this is relevant, we are running Coherence version 2.0.0 and Unity’s Multiplayer Play Mode (MPPM) version 1.3.3 due to a bug with MPPM that was causing the virtual machine’s window to disappear on startup. The process for the second Unity editor window appeared be running, but as it was not visible, it was preventing us from testing on a single machine.