Error “A renderer material mask can't store more than 128 materials.“ is present when the GPU Resident Drawer is disabled

Reproduction steps:
1. Open the attached project "ReproProj"
2. Open the “/Assets/Scenes” Scene
3. Enter the Play Mode
4. Observe the Console window

Expected result: No Errors exist
Actual result: Error “A renderer material mask can't store more than 128 materials.“ is present

Reproducible with: 2023.3.0a8, 6000.0.35f1, 6000.1.0b3, 6000.2.0a1
Not reproducible with: 2022.3.56f1, 2023.3.0a7

Reproducible on:
Play Mode

Testing environment: Windows 10 Enterprise 21H2
Not reproducible on: No other environment tested

Note:

• This Error blocks building Player