The cause of the issue is that policy was not being applied within the Cloud and default policy was being applied. The end result is that none of the sites were being blocked. The issue was caused by "quotes" being used in the customized portion of error pages. To fix the issue, remove the quotes.
1.) Login to the threatpulse portal (https://portal.threatpulse.com).
2.) Go to Service > Notification > Error Pages
3.) Scan the customized portion and look for "quotes" in any of the field. Delete them and save your changes.
4.) Go back to Solutions > Content Filtering > Policy > and click on "Activate".
5.) Test to make sure policy is being applied appropriately.