Weird dbt (cloud) store_failures error with Redshift

Question

I'm fairly new to dbt (I'm using dbt cloud) and am having a tough time figuring out how to resolve the error I'm getting when I try using store_failures.

Error snippet from downloaded error log:

16:29:06 Using redshift connection "create_mobe_prd_1_dbt_gar_dbt_test__audit" 16:29:06 On create_mobe_prd_1_dbt_gar_dbt_test__audit: /* {"app": "dbt", "dbt_version": "1.4.8", "profile_name": "user", "target_name": "default", "connection_name": "create_mobe_prd_1_dbt_gar_dbt_test__audit"} */ create schema if not exists "dbt_gar_dbt_test__audit" 16:29:06 Postgres adapter: Postgres error: permission denied for database mobe_prd_1

I've tried multiple iterations in using store_failures:

1. In the dbt_project.yml file
2. In the {{ config .... }} block of the sql for the test scenario I wrote
3. Etc...

In each case I end up at the same place where it seems the store_failures macro is always trying to create a schema in the redshift database. Is this the default/expected behaviour? Do I need to have elevated permissions in order to get this to work?