This bug was fixed in the package gce-compute-image-packages -
20160930-0ubuntu3~16.10.0

---------------
gce-compute-image-packages (20160930-0ubuntu3~16.10.0) yakkety; urgency=medium

  * GCE mirrors not in place before startup scripts are run (LP:
#1645276)

 -- Philip Roche <[email protected]>  Fri, 25 Nov 2016 11:37:17
+0000

** Changed in: gce-compute-image-packages (Ubuntu Yakkety)
       Status: Fix Committed => Fix Released

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https://bugs.launchpad.net/bugs/1645276

Title:
  google-startup-scripts runs before cloud-init has completed

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