@RedCMD
My bow does not have looting. I didn't hit the ghast with my sword, I just fired my bow and switched to my sword while the arrow was in flight, and the looting effect was applied.
also present in 1.14.4 (fired an arrow at a ghast, then switched to looting 3 sword, 3 ghast tears dropped)
If this is a server, it could be intended behavior from "spawn-protection" in server.properties. Try typing /op <username> in the server console, then try again, or move ~32 blocks away from spawn.
Saplings will grow to stage 1 before becoming fully grown. I think that is what the observer is detecting. Try pressing F3 and looking at the sapling that the observer is looking at, and looking at the "targeted block data" on the right.
If you're trying to detect the tree growing, try moving the observer up by 1 so that it only detects when the wood replaces the air.
Still a problem in 1.14.4 (End ships + large tower have chests, other loot room is missing chest + enderchest)