After much research, it was determined to be caused by
Bug 6519700 ESC: CSE: R12SIP: 6513826 FRMWEB RUNAWAY PROCESS CONSUMING 100% CPU-MIDDLE TIER
The fix was to shutdown the apps middle tier server and configure the following forms environment variables:
FORMS_RECORD_GROUP_MAXFORMS_CATCHTERM
1) First we had to update the context file on the application middle tier as follows:
s_forms_catchterm=0
2) Since the FORMS_RECORD_GROUP_MAX is not a default variable in the app tier context file, you need to create a custom template as follows.  
     cd $AD_TOP/admin/template 
     mkdir custom    
     cp $AD_TOP/admin/template/APPLSYS_ux.env $AD_TOP/template/custom/APPLSYS_ux.env
Edit the custom template file: 
 vi $AD_TOP/admin/template/custom/APPLSYS_ux.env  
Set the environment variable FORMS_RECORD_GROUP_MAX to a high value such as 10000 or greater.  
FORMS_RECORD_GROUP_MAX=10000  
export FORMS_RECORD_GROUP_MAX
Save the file.
Run autoconfig utility for apps middle tier server.
Start app tier services and test.
Now we now longer have this issue.
 
 
 
 
 
 
 

 
 
 
 
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