Update - ok I see now where this is happening in the logs (but not yet where in my code). Adding some additional context in case others have this issue.
ERROR pocket_ic_server::state_api::state: The instance is deleted immediately after an operation. This is a bug!
Then later on:
PocketIC server encountered an error UpdateError { message: "Instance was deleted" }
at intervalMs (../../node_modules/@hadronous/pic/src/http2-client.ts:144:19)
at Timeout.runPoll [as _onTimeout] (../../node_modules/@hadronous/pic/src/util/poll.ts:17:24)
And then farther on down in the tests I get the server busy message.
Is the commit from @mraszyk mentioned here included in the latest version of pic-js?