- 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.
Alex Newman
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