After finally keeping resources, and checking the logs it seems this failure os due to:
The 'password' field can only have the numbers 0-9, the ASCII letters a-z, A-Z and the dot character (.)
Couple things here,
The password requirement is only for the initial administrator account for Portal, and is a limitation of the PostgreSQL backend. It's not unique to chef, and is still a requirement when doing a manual install of Portal. Once the initial admin account has been created, all subsequent users can create passwords with letters, numbers, and special characters.