Thanks for all the input.
For 3 or 4 days, the thermostat set point was working fine. Temperature dropped to 60F, pump kicked on, tankless kicked on, took about 15 to 20 minutes and temperature came back up to 62F. Now it is all over the board. I have not been able to be in the shop when it starts its cycle, I always manage to show up after the system has fired up. I will be able to get some better information on Saturday, plan on being there all day replacing a clutch and CV Joints on my sons car.
I will report my findings on Monday.