- Removed `path-discovery.ts` service and replaced its usage with a new `paths.ts` module.
- Updated all commands and services to utilize the new path constants and helper functions.
- Ensured all necessary directories are created using the new utility functions.
- Improved code readability and maintainability by centralizing path configurations.
- Added background agent architecture for processing tool observations and generating session summaries.
- Created SDK Prompts Module for generating prompts for the Claude Agent SDK.
- Developed XML Parser Module for parsing observation and summary XML blocks from SDK responses.
- Implemented SDK Worker Process to handle observation processing and session management.
- Updated newHook implementation to spawn the SDK worker as a detached process with path resolution for development and production.
- Created comprehensive test suite for SDK prompts, XML parsing, and HooksDatabase integration, ensuring all tests pass.
- Documented Phase 2 implementation details, architecture validation, and success criteria in PHASE2-COMPLETE.md.