I found that the code behind file for RoleNew had an incorrect access modifiers for the RoleNew.aspx form user controls.
/// Code behind for RolesNew.aspx
public class RoleNew : LayoutsPageBase
private InputFormTextBox txtRole; ---- Should be -- protected InputFormTextBox txtRole;
private Label lblMessage; ---- Should be -- protected Label lblMessage;
I changed the modifiers to protected and now I can add roles using the FBA Role Managment feature.
Maybe this has already been fixed but thought I would post this in case someone is having the same issue.