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Skills extension should prefer the canonical Foundry project endpoint #9844

Description

@hund030

Problem

azure.ai.skills checks the active azd environment for AZURE_AI_PROJECT_ENDPOINT, while current Foundry project provisioning and agent initialization persist the canonical FOUNDRY_PROJECT_ENDPOINT value.

As a result, skill commands and azure.ai.skill service deployment can fail with:

no Foundry project endpoint resolved

even though other Foundry extensions resolve the current project successfully.

Expected Behavior

Skill operations should resolve the project endpoint in this order:

  1. Explicit --project-endpoint
  2. Active azd FOUNDRY_PROJECT_ENDPOINT
  3. Active azd AZURE_AI_PROJECT_ENDPOINT compatibility fallback
  4. Persisted project context
  5. Process FOUNDRY_PROJECT_ENDPOINT
  6. Process AZURE_AI_PROJECT_ENDPOINT compatibility fallback

Acceptance Criteria

  • Skill commands work when only active azd FOUNDRY_PROJECT_ENDPOINT is configured.
  • FOUNDRY_PROJECT_ENDPOINT wins when both active environment keys are set.
  • Existing projects that contain only AZURE_AI_PROJECT_ENDPOINT continue to work.
  • The same canonical-first behavior applies to process environment variables.
  • Resolver documentation and tests reflect the supported precedence.

Activity

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