Fix issues with logging flag validations

Based on what I found trying to debug the previous sync failures, we need to search for `setupLog.Error(nil, <errorString>)` and make sure we instead use `setupLog.Error(errors.New())`. Using `nil` for the error results in no log line being written. In my case, it meant completely empty pod logs.

See https://github.com/search?q=repo%3Aoperator-framework%2Fcatalogd%20setupLog.Error(nil&type=code