For some, reverting back to the 3.4 client has reportedly fixed the problem, but obviously it's not a 100% fix since you say it's happening with the 3.4 and other clients. All I can suggest is to go back to 3.4 for the administrator app as well if possible. Instructions on uninstalling can be found here.
The bug was reported to and confirmed by Apple before ARD 3.5 was released, but they let 3.5 out regardless. So yes, they broke it, at least for reporting.