It's a known issue but I have no idea what's wrong. I'll try my best to find the cause but will take a longer while.
I removed it to make some space for new cheats. If you'd like to get rid of the glitch effect permanently, open 'tweak_tables.xtbl' file, find 'Glitch_effect_lifetime' line and change the value to 0. You can also install
my Sandbox+, which allows you to toggle glitch effect while playing via hotkey (I disabled it by default - if you'd like to have it enabled after launching the game, open 'sr3_city.lua' file provided in the archive and switch GLITCH variable to true).