This bug was fixed in the package cloud-initramfs-tools - 0.27ubuntu1.5

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cloud-initramfs-tools (0.27ubuntu1.5) xenial; urgency=medium

  * sync with upstream at 0.40ubuntu1
    - whitespace changes.
    - rooturl: adjust squashfs url matching to not require '.'.
      Previously it would match <url>*.squashfs or <url>*.squash
      Now it will match <url>*squashfs or <url>*squash.  (LP: #1728048)
    - updateroot/*, debian/control: new package 'cloud-initramfs-updateroot'
    - debian/README.source: update upstream information for move to git.
    - overlayroot: change from storing password in
      /run/initramfs/overlayroot.passwd rather than randomly generated
      /run/initramfs/overlayroot.XXXXXX
    - overlayroot: avoid confusing systemd (LP: #1723183)
       + Mark / as 'noauto' in the newly written /etc/fstab
       + Comment out the read-only line for /.

 -- Scott Moser <[email protected]>  Fri, 15 Dec 2017 15:57:35 -0500

** Changed in: cloud-initramfs-tools (Ubuntu Xenial)
       Status: Fix Committed => Fix Released

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https://bugs.launchpad.net/bugs/1723183

Title:
  transient systemd ordering issue when using overlayroot

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