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Bug: Unable to connect to ArcSDE after upgrading spatial reference to high precision

Description

After upgrading feature classes to high precision, ArcSDE service (3-tier) connections to ArcSDE fail or return no data.

Cause

Operations that call on ArcSDE to generate a list of layers may fail because the spatial reference records are incorrectly fetched when feature classes have been upgraded to high precision.

This affects ArcSDE commands such as sdelayer -o describe, making a spatial database connection from ArcCatalog, or opening the Add Data dialog box in ArcMap.

Workaround

Make connections using Direct Connect rather than connecting to the ArcSDE service.