Regression: "value must be known" when generate block contains a dependency block

generate "gen" {
    path      = "generated.tf"
    if_exists = "overwrite_terragrunt"
    contents  = <<EOF
%{ if try(dependency.dep.outputs.value, "") != "" }
locals { from_dep = "${dependency.dep.outputs.value}" }
%{ endif }
EOF
}

using TF engine: /home/example/bin/tofu (OpenTofu v1.12.6)
detected platform: linux_arm64
+ curl -fL -o ./.bin/terragrunt-1.0.8 https://github.com/gruntwork-io/terragrunt/releases/download/v1.0.8/terragrunt_linux_arm64
+ curl -fL -o ./.bin/terragrunt-1.1.4 https://github.com/gruntwork-io/terragrunt/releases/download/v1.1.4/terragrunt_linux_arm64

==================== terragrunt v1.0.8 (./.bin/terragrunt-1.0.8) ====================
+ find . -type d -name .terragrunt-cache -exec rm -rf {} +
+ TG_TF_PATH=/home/example/bin/tofu ./.bin/terragrunt-1.0.8 run --all -- plan
16:52:55.042 INFO   - Unit dep
- Unit app

16:52:55.042 INFO   [dep] Downloading Terraform configurations from ./module into ./dep/.terragrunt-cache/itePgiz28GC6p-NEu9-Hmqpz_20/3XhcV4Vu9P545W02Fl7HcBQG6iM
16:52:55.053 INFO   [dep] tofu: Initializing the backend...
16:52:55.054 INFO   [dep] tofu: Initializing provider plugins...
16:52:55.054 INFO   [dep] tofu: OpenTofu has been successfully initialized!
16:52:55.054 INFO   [dep] tofu: 
16:52:55.054 INFO   [dep] tofu: You may now begin working with OpenTofu. Try running "tofu plan" to see
16:52:55.054 INFO   [dep] tofu: any changes that are required for your infrastructure. All OpenTofu commands
16:52:55.054 INFO   [dep] tofu: should now work.
16:52:55.054 INFO   [dep] tofu: If you ever set or change modules or backend configuration for OpenTofu,
16:52:55.054 INFO   [dep] tofu: rerun this command to reinitialize your working directory. If you forget, other
16:52:55.054 INFO   [dep] tofu: commands will detect it and remind you to do so if necessary.
16:52:55.065 STDOUT [dep] tofu: Changes to Outputs:
16:52:55.065 STDOUT [dep] tofu:   + value = "hello"
16:52:55.065 STDOUT [dep] tofu: You can apply this plan to save these new output values to the OpenTofu
16:52:55.065 STDOUT [dep] tofu: state, without changing any real infrastructure.
16:52:55.065 STDOUT [dep] tofu: 
16:52:55.065 STDOUT [dep] tofu: ─────────────────────────────────────────────────────────────────────────────
16:52:55.065 STDOUT [dep] tofu: Note: You didn't use the -out option to save this plan, so OpenTofu can't
16:52:55.065 STDOUT [dep] tofu: guarantee to take exactly these actions if you run "tofu apply" now.
16:52:55.078 INFO   [dep] tofu: Initializing the backend...
16:52:55.078 INFO   [dep] tofu: Initializing provider plugins...
16:52:55.078 INFO   [dep] tofu: OpenTofu has been successfully initialized!
16:52:55.078 INFO   [dep] tofu: 
16:52:55.078 INFO   [dep] tofu: You may now begin working with OpenTofu. Try running "tofu plan" to see
16:52:55.078 INFO   [dep] tofu: any changes that are required for your infrastructure. All OpenTofu commands
16:52:55.078 INFO   [dep] tofu: should now work.
16:52:55.078 INFO   [dep] tofu: If you ever set or change modules or backend configuration for OpenTofu,
16:52:55.078 INFO   [dep] tofu: rerun this command to reinitialize your working directory. If you forget, other
16:52:55.078 INFO   [dep] tofu: commands will detect it and remind you to do so if necessary.
16:52:55.089 WARN   [app] Config /tmp/tg-generate-dep-bug/dep/terragrunt.hcl is a dependency of /tmp/tg-generate-dep-bug/app/terragrunt.hcl that has no outputs, but mock outputs provided and returning those in dependency output.
16:52:55.089 INFO   [app] Downloading Terraform configurations from ./module into ./app/.terragrunt-cache/GRK9msd75roXn9qW7Ot4QphONE0/3XhcV4Vu9P545W02Fl7HcBQG6iM
16:52:55.100 INFO   [app] tofu: Initializing the backend...
16:52:55.101 INFO   [app] tofu: Initializing provider plugins...
16:52:55.101 INFO   [app] tofu: OpenTofu has been successfully initialized!
16:52:55.101 INFO   [app] tofu: 
16:52:55.101 INFO   [app] tofu: You may now begin working with OpenTofu. Try running "tofu plan" to see
16:52:55.101 INFO   [app] tofu: any changes that are required for your infrastructure. All OpenTofu commands
16:52:55.101 INFO   [app] tofu: should now work.
16:52:55.101 INFO   [app] tofu: If you ever set or change modules or backend configuration for OpenTofu,
16:52:55.101 INFO   [app] tofu: rerun this command to reinitialize your working directory. If you forget, other
16:52:55.101 INFO   [app] tofu: commands will detect it and remind you to do so if necessary.
16:52:55.112 STDOUT [app] tofu: Changes to Outputs:
16:52:55.112 STDOUT [app] tofu:   + value = "hello"
16:52:55.112 STDOUT [app] tofu: You can apply this plan to save these new output values to the OpenTofu
16:52:55.112 STDOUT [app] tofu: state, without changing any real infrastructure.
16:52:55.112 STDOUT [app] tofu: 
16:52:55.112 STDOUT [app] tofu: ─────────────────────────────────────────────────────────────────────────────
16:52:55.112 STDOUT [app] tofu: Note: You didn't use the -out option to save this plan, so OpenTofu can't
16:52:55.112 STDOUT [app] tofu: guarantee to take exactly these actions if you run "tofu apply" now.

❯❯ Run Summary  2 units  70ms
   ────────────────────────────
   Succeeded    2

---- v1.0.8: PASS (exit 0), full log saved to /tmp/tmp.EeIhFc7wOM ----

==================== terragrunt v1.1.4 (./.bin/terragrunt-1.1.4) ====================
+ find . -type d -name .terragrunt-cache -exec rm -rf {} +
+ TG_TF_PATH=/home/example/bin/tofu ./.bin/terragrunt-1.1.4 run --all -- plan
16:52:55.148 ERROR  Error: Unsuitable value type
16:52:55.148 ERROR    on /tmp/tg-generate-dep-bug/root.hcl line 9, in generate "gen":
16:52:55.148 ERROR     8:   contents  = <<EOF
16:52:55.149 ERROR     9: %{ if try(dependency.dep.outputs.value, "") != "" }
16:52:55.149 ERROR    10: locals { from_dep = "${dependency.dep.outputs.value}" }
16:52:55.149 ERROR    11: %{ endif }
16:52:55.149 ERROR    12: EOF
16:52:55.149 ERROR  Unsuitable value: value must be known
16:52:55.149 ERROR  Error: Unknown variable
16:52:55.149 ERROR    on /tmp/tg-generate-dep-bug/app/terragrunt.hcl line 7, in terraform:
16:52:55.149 ERROR     7:   source = include.root.locals.module_source
16:52:55.149 ERROR  There is no variable named "include".
16:52:55.149 ERROR  Error: Unsuitable value type
16:52:55.149 ERROR    on /tmp/tg-generate-dep-bug/app/terragrunt.hcl line 7, in terraform:
16:52:55.149 ERROR     7:   source = include.root.locals.module_source
16:52:55.149 ERROR  Unsuitable value: value must be known
16:52:55.149 INFO   TIP (debugging-docs): For help troubleshooting errors, visit https://docs.terragrunt.com/troubleshooting/debugging
16:52:55.149 ERROR  /tmp/tg-generate-dep-bug/app/terragrunt.hcl:7,12-19: Unknown variable; There is no variable named "include"., and 1 other diagnostic(s)
---- v1.1.4: FAIL (exit 1), full log saved to /tmp/tmp.12iCAVxJdy ----

v1.0.8 -> PASS
v1.1.4 -> FAIL
16:52:55.149 ERROR  Unsuitable value: value must be known
RESULT: regression reproduced