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Phase 2 (PROVIDERS move out of src/models.py) is now complete. The phase checkpoint is commit7b24ee9(the empty 'Phase 2 complete' commit). The audit report is attached as a git note on that commit. state.toml updates: - phase_2.status pending -> completed; checkpoint_sha7b24ee9- t2_1 pending -> completed; commit74c3b6b2(tied to the PROVIDERS move commit since the location decision was resolved in that commit's body) - phase_3.status pending -> in_progress (next) 5 of 5 Phase 2 tasks shipped: - t2_1: location decision (src/ai_client.py per HARD RULE) - t2_2: PROVIDERS moved + re-export via __getattr__ - t2_3: 4 import sites updated - t2_4: audit script added - t2_5: checkpoint + git note Side-track surfaced (not in scope for Phase 2): src/models.py is bloated with non-MMA types. Proposed as 'namespace_cleanup_20260611' track in the deferred_work section; user to decide whether to side-track before Phase 3 or proceed to UX adaptations first.