Sortable items do not work correctly when a transformation has been placed on items or the container

I am attempting to allow sorting items that have a long height. The height of the objects may be more then the users screen, which will make it difficult to click and drag the items (and still have a general overview of what the items are.

I devised a simple plan to go and change the zoom level of the items when beginning the start of the drag, but this does not seem to correctly work.

See the JSFiddle and try moving the blocks around to see the issue: http://jsfiddle.net/sh4zx63w/7/

This looks to be related to http://bugs.jquery.com/ticket/11114 & http://bugs.jquery.com/ticket/8362