Planning Method B Order Point - fulfilled PR/PO still counted as supply?

We are looking to start using Order Proposals for some of our inventory items.

Set-up is:

Planning Method B

Order Point 100

Lot Size 25

There is 0 Qty on Hand as this is a new part.(with no demand coming from any work order, etc..)

Create Order Proposal job is initiated.

A Purchase requisition is created with 100 being recommended to purchase. This is then crated into Purchase order, received into inventory, and then closed.

All works as expected to this point.

Now we relieve some inventory, either by Count, or by material requisition. 

The Qty on Hand is now below 100, and actually we’ve taken it to 0.

We expect the Order Proposal to create another purchase Requisition...but it does not. It will only create one if we change the Order point to 101 or higher. Ex. - we changed it to 2,000, only to have the Requisition call for 1,900.

Can someone explain what we’re missing either in set-up, or understanding of how this process works?