AP50 WAPs only active if "system appliance_access enable" is set.

This should not be the case to get APs running.

Appliance_access just enables the access to the appliance to any. 

Can you post some screenshots of the Device Access / network Interfaces and zones? 

The Firewall should not be involved here. 

Thank you in advance for the help

Can you explain Port1 and Port2? 

It is not possible to use the interfaces in the same subnet unless you use a bridge.

https://community.sophos.com/kb/en-us/123098

https://serverfault.com/questions/415304/multiple-physical-interfaces-with-ips-on-the-same-subnet

I found this interesting in the packet capture while appliance_access disabled.

Port3 is my WAN interface.

I found this interesting in the packet capture while appliance_access disabled.

Port3 is my WAN interface.

This seems to be just a Symptom but not the cause of your issue.

You should delete Port2 or Port1 and build up a bridge with this IP. 

Then Rebuild DNS and DHCP and everything should work fine. 

I ended up redoing my entire setup. I believe I was having some issues since I was going through another router. I wired XG directly into my ISP's modem and got rid of the other router to resolve the issue.