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DM365 Boot PHY question?

I am bringing up our DM365 design and am having problems getting the PHY interface to work.

We are using a LTX971 PHY and there is a FPGA between the DM365 and the PHY.

The initial FPGA code just passes all of the PHY signals from the DM365 to/from the PHY.

We have loaded the boot loader and UBL thru the serial interface. When i switch to the mode to boot from Flash, the messages from the console port say that no PHY is found.

I expected to see activity on the MDC and MDIO lines, as the DM365 attempts to connect to the PHY. I see NO activity on these lines.

Am i missing something or does this illustrate that i have another problem?

All of the power supplies (1.35V,1.8V and 3.3V) are working. I have tested on three boards.

Any suggestions would be appriciated!
Thanks,
Doug