After updating to the latest FW, still had problems establishing ARC with my receiver and TV. I decided to test the ARC connection with a Vizio soundbar I had and it worked flawlessly. This led me to believe that there was some problem with my Onkyo (TX-NR 656) receiver, so I tested each connection to the onkyo and found out that the connection labeled BD-DVD (HDMI-2) was causing the problem. Once I took out that connection, ARC was working again, re-establishing that connection causes the issue. I need to call Onkyo support and see why that specific HDMI input is causing problems.
Interestingly, before I found out all this, I was relegated to using optical for audio but was still able to control the volume on the avr by selecting the receiver as the input on the TV but the moment I switched to over the air broadcasting, I would lose the ability to control the volume.