They probably didn't contact you about he issues during your stay because quite honestly there is probably nothing you could have done to resolve their issues.  

I am meeting with him tonight to figure out how to resolve.  

And I send a 3 day resolve or quit notice.

My quandary  is what to do if the tenants cannot resolve it themselves.P.S.

If not, I'll end up getting a short term (6 month) lease on an apartment to scope the area and wait for better opportunities.I think I'd honestly MUCH rather rent to a military member if only for the reason you listed, I'm almost guaranteed to not have any major issues that can't be resolved with a call to their First Sergeant.  

Any suggestions on how to resolve this issue?  

Once the issues you've had ultimately resolve, however that may be, I think it will be beneficial to others if you share your full experience, including how that warranty actually worked. 

It creates a cloud on the record title that will prevent sale of the property until the dispute is resolved.

Since you requested the tenant remove the dog and they don't find that acceptable, they simply want to leave which I think is probably the best course of action to resolve this.

The OP was made with the thinking that notes were where I wanted to go.I'll keep my ears open for other strategies that are compatible with my lifestyle goals, but I think it's time for a deep dive into notes.Thanks for a very confirming comment!