Thanks @dave_dore , that helps clarify things a bit more.
FWIW: I only use Linked Racks, not embedded racks, one VST per rack (except in a couple or rare cases), and don’t nest racks within other racks.
I’ve decided to address the issue by changing the Rack States back to “Use Plugins Programs” as I think it will make most of the process easier to deal with. I didn’t realize that the setting is specific to each Rack State (I thought it was global to the Rack).