New-PublicFolderDatabase = Access is denied

Humm, so I tried to create a public folder store to on a server and got:

Summary: 2 item(s). 0 succeeded, 1 failed.
Elapsed time: 00:00:01

New PUB01-PUB03
Failed

Error:
Active Directory operation failed on dc00003.mydom.local. This error is not retriable. Additional information: Access is denied.
Active directory response: 00000005: SecErr: DSID-03151E04, problem 4003 (INSUFF_ACCESS_RIGHTS), data 0

The user has insufficient access rights.

Exchange Management Shell command attempted:
new-publicfolderdatabase -StorageGroup ‘CN=SG02-PUB03,CN=InformationStore,CN=PUB03,CN=Servers,CN=Exchange Administrative Group (FYDIBOHF23SPDLT),CN=Administrative Groups,CN=BarWealth,CN=Microsoft Exchange,CN=Services,CN=Configuration,DC=gbl,DC=barwealth,DC=net’ -Name ‘PUB01-PUB03’ -EdbFilePath ‘F:SG02SG02-DBPUB01-PUB03.edb’

Elapsed Time: 00:00:01

 

Turns out that if you delegate a group as server administrator they get an explicit deny on the server object for Create and Delete Public Information Store Objects.  Suppose it does make sense as a Public Folder is an org wide thing .. but hey, every day is a school day

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