Our sin has severed our relationship with God. All of us have done it. We've all sinned. We've failed to meet God's standards of perfection. So "the soul that sins will die," is not just a theological concept, it's a profound truth with which we must all deal. And because of that we fall short of God's glory.
But the word in Romans 3 is actually properly translated, "praise." All have sinned and fallen short of [earning, receiving] the praise of God.
But hear what God says to Jesus at his baptism: “You are my beloved Son; with you I am well pleased.” Sounds like praise to me. And want to hear the best part of all? Through faith in Jesus we are credited with Jesus' righteousness! We who are baptized into Christ are clothed with Christ.
Jesus came to seek and to save the lost. To do so required that he fully participate in the human experience. So he did - including being baptized along with a bunch of sinners. Now that he has begun that mission in public, the Father praises him. Jesus will not fall short. Nor will any who put their faith in him.
