There's something in the story you're not telling us. Killing orcs in the commonlands or highpass does nothing for your Freeport Militia faction. However, turning in the belts you get from them to the Freeport Militia captain (Hazran?) does. And this quest has the side effect of lowering your Knight of Truth faction.
I'm not going to say that the admitted bug isn't part of your concern, but I will say there is at least one consideration you haven't accounted for.
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