Cisco Wireless :: WLC4402 / Aironet 1240 AG - Logs Are Rejected Due To Network Policy On NPS Server

We are using WLC4402 for our Aironet 1240AG access points.  The clients are connecting to the access points and are authenticating to the RADIUS server.  I am seeing the logs in Server 2008 but they are being rejected due to Network Policy on the NPS server.
 
Where do I see the Authentication Type on the WLC4400 or the 1240's?  In order for the clients (authenticated via Active Directory user) I have to set the Authentication in the NPS Connection Request Policy to "Allow clients to connect without negotiating an authentication method". 
 
I do not have a certificate on the server and my method options are MS-CHAP-v2, MS-CHAP, CHAP, PAP, SPAP, and allow without negotiating.  This RADIUS server was moved from Server 2003 IAS to Server 2008 NPS and there were no issues in Server 2003 IAS.  I have all authentication methods allowed and it still gives me the error below.  Only when I check "Allow clients to connect without negotiating an authentication method" it allows the authentication to proceed. 
 
Client Machine:
    Security ID:   NULL SID    Account Name:  Fully Qualified Account Name:    OS-Version:   
    Called Station Identifier:        00-17-a2-87-54-00: SSID NAME
    Calling Station Identifier:        00-41-96-b6-e3-27
 
NAS:
    NAS IPv4 Address:        192.168.90.24
    NAS IPv6 Address:        -
   [code]...

    Reason:    The user attempted to use an authentication method that is not enabled on the matching network policy.