diff --git a/src/renderer/src/components/NewWorkspaceComposerCard.test.tsx b/src/renderer/src/components/NewWorkspaceComposerCard.test.tsx
index c639082d581..874708be52f 100644
--- a/src/renderer/src/components/NewWorkspaceComposerCard.test.tsx
+++ b/src/renderer/src/components/NewWorkspaceComposerCard.test.tsx
@@ -56,6 +56,13 @@ vi.mock('@/components/agent/AgentCombobox', () => ({
   default: () => <button type="button">Agent picker</button>
 }))
 
+// Stub the host-add dialog to its `mode` — the composer's job is to open it with the right
+// mode; the dialog's own SSH/runtime IPC has separate coverage.
+vi.mock('@/components/sidebar/AddRemoteHostDialog', () => ({
+  AddRemoteHostDialog: ({ mode }: { mode: 'ssh' | 'server' | null }) =>
+    mode ? <div data-testid="add-remote-host-dialog" data-mode={mode} /> : null
+}))
+
 vi.mock('@/components/sparse/SparseCheckoutPresetSelect', () => ({
   default: () => <div data-testid="sparse-select" />
 }))
@@ -148,7 +155,8 @@ const devboxNeedsSetupHostOption: ProjectHostSetupOption = {
   hostId: 'ssh:devbox',
   label: 'Devbox',
   detail: 'Project not set up on this host',
-  isAvailable: true
+  isAvailable: true,
+  attention: false
 }
 
 const disconnectedDevboxNeedsSetupHostOption: ProjectHostSetupOption = {
@@ -159,9 +167,29 @@ const disconnectedDevboxNeedsSetupHostOption: ProjectHostSetupOption = {
   label: 'Devbox',
   detail: 'Connect this host to set up projects',
   isAvailable: false,
+  attention: false,
   connectAction: { kind: 'ssh', targetId: 'devbox' }
 }
 
+const disconnectedBastionNeedsSetupHostOption: ProjectHostSetupOption = {
+  kind: 'needs-setup',
+  id: 'needs-setup:ssh:bastion',
+  projectId: 'project-group:platform',
+  hostId: 'ssh:bastion',
+  label: 'Bastion',
+  detail: 'Connect this host to set up projects',
+  isAvailable: false,
+  attention: false,
+  connectAction: { kind: 'ssh', targetId: 'bastion' }
+}
+
+function findConnectButton(label: string): HTMLButtonElement | undefined {
+  const item = findRunTargetItem(label)
+  return [...(item?.querySelectorAll('button') ?? [])].find((button) =>
+    button.textContent?.includes('Connect')
+  )
+}
+
 function renderCard(
   overrides: Partial<React.ComponentProps<typeof NewWorkspaceComposerCard>> = {}
 ) {
@@ -415,11 +443,12 @@ describe('NewWorkspaceComposerCard folder task source mode', () => {
     )
   })
 
-  it('emits the setup startup policy toggle value', () => {
+  it('emits the setup startup policy toggle value when setup will run', () => {
     const changes: string[] = []
     current = renderCard({
       advancedOpen: true,
       setupControlsEnabled: true,
+      resolvedSetupDecision: 'run',
       setupConfig: {
         source: 'yaml',
         command: 'pnpm install',
@@ -428,14 +457,38 @@ describe('NewWorkspaceComposerCard folder task source mode', () => {
       onSetupAgentStartupPolicyChange: (next) => changes.push(next)
     })
 
-    const waitSwitch = current.container.querySelector<HTMLElement>(
+    const waitSwitch = current.container.querySelector<HTMLButtonElement>(
       '[role="switch"][aria-label="Wait for setup to complete before starting agent"]'
     )
     expect(waitSwitch).toBeTruthy()
+    expect(waitSwitch?.disabled).toBe(false)
     act(() => waitSwitch?.click())
     expect(changes).toEqual(['wait-for-setup'])
   })
 
+  it('disables the wait-for-setup toggle when setup is set to skip', () => {
+    const changes: string[] = []
+    current = renderCard({
+      advancedOpen: true,
+      setupControlsEnabled: true,
+      resolvedSetupDecision: 'skip',
+      setupConfig: {
+        source: 'yaml',
+        command: 'pnpm install',
+        kind: 'setup'
+      },
+      onSetupAgentStartupPolicyChange: (next) => changes.push(next)
+    })
+
+    const waitSwitch = current.container.querySelector<HTMLButtonElement>(
+      '[role="switch"][aria-label="Wait for setup to complete before starting agent"]'
+    )
+    expect(waitSwitch?.disabled).toBe(true)
+    // Nothing to wait for when setup won't run — clicking is inert.
+    act(() => waitSwitch?.click())
+    expect(changes).toEqual([])
+  })
+
   it('shows a git-only branch name field in Advanced and emits manual edits', () => {
     const changes: (string | undefined)[] = []
     current = renderCard({
@@ -526,10 +579,11 @@ describe('NewWorkspaceComposerCard folder task source mode', () => {
 
     const devboxItem = findRunTargetItem('Devbox')
     expect(devboxItem?.textContent).toContain('Project not set up on this host')
-    expect(
-      devboxItem?.getAttribute('aria-disabled') === 'true' ||
-        devboxItem?.hasAttribute('data-disabled')
-    ).toBe(true)
+    // Not-connected rows stay highlightable (not disabled) so they hover like the other
+    // items; a separator sets them off instead of a heading.
+    expect(devboxItem?.getAttribute('aria-disabled')).toBe('false')
+    expect(devboxItem?.getAttribute('data-disabled')).toBe('false')
+    expect(document.body.querySelector('[cmdk-separator]')).toBeTruthy()
   })
 
   it('shows the run target picker for one ready setup so hosts can be added', () => {
@@ -587,7 +641,39 @@ describe('NewWorkspaceComposerCard folder task source mode', () => {
     expect(findRunTargetItem('Devbox')).toBeUndefined()
   })
 
-  it('opens the SSH host add form from the run target picker', () => {
+  it('keeps other hosts connectable while one connect is still in flight', async () => {
+    // First host's connect never resolves — a stalled connect must not disable the others.
+    apiMocks.sshConnect.mockImplementation(({ targetId }: { targetId: string }) =>
+      targetId === 'devbox' ? new Promise(() => {}) : Promise.resolve(undefined)
+    )
+    current = renderCard({
+      projectHostSetupOptions: [
+        localReadyHostOption,
+        disconnectedDevboxNeedsSetupHostOption,
+        disconnectedBastionNeedsSetupHostOption
+      ],
+      selectedProjectHostSetupId: 'setup-local'
+    })
+
+    openRunTargetPicker(current.container)
+    await act(async () => {
+      findConnectButton('Devbox')?.click()
+    })
+
+    // Clicking Connect closes the popover; reopen to inspect the still-open connect state.
+    openRunTargetPicker(current.container)
+    // Devbox is mid-connect (disabled), but Bastion stays clickable.
+    expect(findConnectButton('Devbox')?.disabled).toBe(true)
+    const bastionButton = findConnectButton('Bastion')
+    expect(bastionButton?.disabled).toBe(false)
+
+    await act(async () => {
+      bastionButton?.click()
+    })
+    expect(apiMocks.sshConnect).toHaveBeenCalledWith({ targetId: 'bastion' })
+  })
+
+  it('opens the SSH host add dialog over the composer without leaving for Settings', () => {
     current = renderCard({
       projectHostSetupOptions: [localReadyHostOption, devboxNeedsSetupHostOption],
       selectedProjectHostSetupId: 'setup-local'
@@ -597,16 +683,34 @@ describe('NewWorkspaceComposerCard folder task source mode', () => {
     act(() => findRunTargetItem('Add host')?.click())
     act(() => findRunTargetItem('Add SSH host')?.click())
 
-    expect(storeMocks.closeModal).toHaveBeenCalled()
-    expect(storeMocks.openSettingsPage).toHaveBeenCalled()
-    expect(storeMocks.openSettingsTarget).toHaveBeenCalledWith({
-      pane: 'ssh',
-      repoId: null,
-      intent: 'add-ssh-host'
-    })
+    const dialog = document.body.querySelector('[data-testid="add-remote-host-dialog"]')
+    expect(dialog?.getAttribute('data-mode')).toBe('ssh')
+    // The composer stays put — no navigation that would discard the in-progress form.
+    expect(storeMocks.closeModal).not.toHaveBeenCalled()
+    expect(storeMocks.openSettingsPage).not.toHaveBeenCalled()
+    expect(storeMocks.openSettingsTarget).not.toHaveBeenCalled()
   })
 
-  it('opens the remote Orca server add form from the run target picker', () => {
+  it('opens the add-host submenu on hover without a click', () => {
+    current = renderCard({
+      projectHostSetupOptions: [localReadyHostOption, devboxNeedsSetupHostOption],
+      selectedProjectHostSetupId: 'setup-local'
+    })
+
+    openRunTargetPicker(current.container)
+    const addHost = findRunTargetItem('Add host')
+    expect(addHost).toBeTruthy()
+    // Hovering the row (no click) opens its submenu so it feels like a menu. React derives
+    // onPointerEnter from a bubbling pointerover, which is what jsdom dispatches here.
+    act(() => {
+      addHost?.dispatchEvent(new MouseEvent('pointerover', { bubbles: true }))
+    })
+
+    expect(findRunTargetItem('Add SSH host')).toBeTruthy()
+    expect(findRunTargetItem('Add Remote Orca Server')).toBeTruthy()
+  })
+
+  it('opens the remote Orca server add dialog over the composer without leaving for Settings', () => {
     current = renderCard({
       projectHostSetupOptions: [localReadyHostOption, devboxNeedsSetupHostOption],
       selectedProjectHostSetupId: 'setup-local'
@@ -616,13 +720,11 @@ describe('NewWorkspaceComposerCard folder task source mode', () => {
     act(() => findRunTargetItem('Add host')?.click())
     act(() => findRunTargetItem('Add Remote Orca Server')?.click())
 
-    expect(storeMocks.closeModal).toHaveBeenCalled()
-    expect(storeMocks.openSettingsPage).toHaveBeenCalled()
-    expect(storeMocks.openSettingsTarget).toHaveBeenCalledWith({
-      pane: 'servers',
-      repoId: null,
-      intent: 'add-remote-orca-server'
-    })
+    const dialog = document.body.querySelector('[data-testid="add-remote-host-dialog"]')
+    expect(dialog?.getAttribute('data-mode')).toBe('server')
+    expect(storeMocks.closeModal).not.toHaveBeenCalled()
+    expect(storeMocks.openSettingsPage).not.toHaveBeenCalled()
+    expect(storeMocks.openSettingsTarget).not.toHaveBeenCalled()
   })
 
   it('shows VM recipes inside the run target picker', () => {
diff --git a/src/renderer/src/components/NewWorkspaceComposerCard.tsx b/src/renderer/src/components/NewWorkspaceComposerCard.tsx
index f384b0e9051..21549bab73c 100644
--- a/src/renderer/src/components/NewWorkspaceComposerCard.tsx
+++ b/src/renderer/src/components/NewWorkspaceComposerCard.tsx
@@ -20,7 +20,13 @@ import {
   Server
 } from 'lucide-react'
 import { Button } from '@/components/ui/button'
-import { Command, CommandEmpty, CommandItem, CommandList } from '@/components/ui/command'
+import {
+  Command,
+  CommandEmpty,
+  CommandItem,
+  CommandList,
+  CommandSeparator
+} from '@/components/ui/command'
 import { Popover, PopoverContent, PopoverTrigger } from '@/components/ui/popover'
 import { Tooltip, TooltipContent, TooltipTrigger } from '@/components/ui/tooltip'
 import { SettingsSwitch } from '@/components/settings/SettingsFormControls'
@@ -54,6 +60,10 @@ import SmartWorkspaceNameField, {
 } from '@/components/new-workspace/SmartWorkspaceNameField'
 import type { SmartNameMode } from '@/components/new-workspace/smart-workspace-source-results'
 import ProjectCombobox from '@/components/new-workspace/ProjectCombobox'
+import {
+  AddRemoteHostDialog,
+  type AddRemoteHostMode
+} from '@/components/sidebar/AddRemoteHostDialog'
 import type { SetupConfig } from '@/lib/new-workspace'
 import type { NewWorkspaceProjectOption } from '@/lib/new-workspace-project-options'
 import type {
@@ -206,6 +216,33 @@ function getSshStatusLabel(status: SshConnectionStatus): string {
   return SSH_STATUS_LABELS[status] ?? status
 }
 
+// Why: bound how long the run-target picker waits on a host connect so a stalled backend
+// connect can't leave the row's disabled/spinner state stuck forever. The backend keeps going.
+const RUN_TARGET_CONNECT_UI_TIMEOUT_MS = 20_000
+
+async function withUiConnectTimeout<T>(promise: Promise<T>): Promise<T> {
+  let timer: ReturnType<typeof setTimeout> | undefined
+  const timeout = new Promise<never>((_, reject) => {
+    timer = setTimeout(() => {
+      reject(
+        new Error(
+          translate(
+            'auto.components.NewWorkspaceComposerCard.connectTimedOut',
+            'Connection timed out. It may still be connecting in the background.'
+          )
+        )
+      )
+    }, RUN_TARGET_CONNECT_UI_TIMEOUT_MS)
+  })
+  try {
+    return await Promise.race([promise, timeout])
+  } finally {
+    if (timer) {
+      clearTimeout(timer)
+    }
+  }
+}
+
 function getRecipeCommandDisplay(command: string): string {
   const trimmed = command.trim()
   const quoted = trimmed.match(/^"([^"]+)"/) ?? trimmed.match(/^'([^']+)'/)
@@ -251,7 +288,11 @@ function WorkspaceRunTargetCombobox({
   const [open, setOpen] = React.useState(false)
   const [vmRecipesOpen, setVmRecipesOpen] = React.useState(false)
   const [hostActionsOpen, setHostActionsOpen] = React.useState(false)
-  const [connectingHostId, setConnectingHostId] = React.useState<string | null>(null)
+  // Why: track in-flight connects per host (a Set, not a single id) so connecting one host — or
+  // one connect stalling — never disables connecting to the others.
+  const [connectingHostIds, setConnectingHostIds] = React.useState<ReadonlySet<string>>(
+    () => new Set()
+  )
   const mountedRef = React.useRef(true)
   const readyHostOptions = React.useMemo(
     () =>
@@ -260,6 +301,13 @@ function WorkspaceRunTargetCombobox({
       ),
     [hostOptions]
   )
+  const needsSetupHostOptions = React.useMemo(
+    () =>
+      hostOptions.filter(
+        (option): option is NeedsSetupProjectHostOption => option.kind === 'needs-setup'
+      ),
+    [hostOptions]
+  )
   const selectedHost =
     readyHostOptions.find((option) => option.id === hostValue) ?? readyHostOptions[0] ?? null
   const selectedRecipe = recipes.find((recipe) => recipe.id === recipeValue) ?? null
@@ -305,21 +353,47 @@ function WorkspaceRunTargetCombobox({
 
   const connectHost = React.useCallback(
     async (option: NeedsSetupProjectHostOption): Promise<void> => {
-      if (!option.connectAction || !onConnectHost || connectingHostId !== null) {
+      if (!option.connectAction || !onConnectHost || connectingHostIds.has(option.hostId)) {
         return
       }
-      setConnectingHostId(option.hostId)
+      setConnectingHostIds((current) => new Set(current).add(option.hostId))
       try {
         await onConnectHost(option)
       } finally {
         if (mountedRef.current) {
-          setConnectingHostId((current) => (current === option.hostId ? null : current))
+          setConnectingHostIds((current) => {
+            if (!current.has(option.hostId)) {
+              return current
+            }
+            const next = new Set(current)
+            next.delete(option.hostId)
+            return next
+          })
         }
       }
     },
-    [connectingHostId, onConnectHost]
+    [connectingHostIds, onConnectHost]
   )
 
+  // Why: the submenu rows open their popover on hover/focus (not just click) to feel like a
+  // menu; opening one closes the other so the two right-side popovers never stack.
+  const openVmRecipesSubmenu = React.useCallback((): void => {
+    setHostActionsOpen(false)
+    setVmRecipesOpen(true)
+  }, [])
+
+  const openHostActionsSubmenu = React.useCallback((): void => {
+    setVmRecipesOpen(false)
+    setHostActionsOpen(true)
+  }, [])
+
+  // Why: hovering/highlighting a plain host row dismisses any submenu popover left open from
+  // passing over the recipe/add-host rows, so a stray submenu can't linger over the list.
+  const closeSubmenus = React.useCallback((): void => {
+    setVmRecipesOpen(false)
+    setHostActionsOpen(false)
+  }, [])
+
   const handleAddSshHost = React.useCallback((): void => {
     setHostActionsOpen(false)
     setOpen(false)
@@ -377,77 +451,99 @@ function WorkspaceRunTargetCombobox({
                 'No run targets are ready for this project.'
               )}
             </CommandEmpty>
-            {hostOptions.map((option) =>
-              option.kind === 'ready' ? (
-                <CommandItem
-                  key={option.id}
-                  value={`host:${option.id}`}
-                  onSelect={() => handleHostSelect(option.id)}
-                  className="items-center gap-2 px-3 py-2"
-                >
-                  <Check
-                    className={cn(
-                      'size-4 text-foreground',
-                      !selectedRecipe && option.id === selectedHost?.id
-                        ? 'opacity-100'
-                        : 'opacity-0'
-                    )}
-                  />
-                  <Server className="size-3.5 shrink-0 text-muted-foreground" />
-                  <div className="min-w-0 flex-1">
-                    <div className="truncate text-sm">{option.label}</div>
-                    <div className="mt-0.5 truncate text-[11px] text-muted-foreground">
-                      {option.path}
-                    </div>
+            {readyHostOptions.map((option) => (
+              <CommandItem
+                key={option.id}
+                value={`host:${option.id}`}
+                onSelect={() => handleHostSelect(option.id)}
+                onPointerEnter={closeSubmenus}
+                onFocus={closeSubmenus}
+                className="items-center gap-2 px-3 py-2"
+              >
+                <Check
+                  className={cn(
+                    'size-4 text-foreground',
+                    !selectedRecipe && option.id === selectedHost?.id ? 'opacity-100' : 'opacity-0'
+                  )}
+                />
+                <Server className="size-3.5 shrink-0 text-muted-foreground" />
+                <div className="min-w-0 flex-1">
+                  <div className="truncate text-sm">{option.label}</div>
+                  <div className="mt-0.5 truncate text-[11px] text-muted-foreground">
+                    {option.path}
                   </div>
-                </CommandItem>
-              ) : (
-                // Why: setup-on-host is a follow-up; this row only explains why the host cannot
-                // run the workspace yet.
-                <CommandItem
-                  key={option.id}
-                  value={option.id}
-                  disabled
-                  className="items-center gap-2 px-3 py-2 data-[disabled=true]:pointer-events-auto data-[disabled=true]:opacity-100"
-                >
-                  <div className="flex min-w-0 flex-1 items-center gap-2 opacity-50">
-                    <Check className="size-4 opacity-0" />
-                    {option.isAvailable ? (
-                      <Server className="size-3.5 shrink-0 text-muted-foreground" />
-                    ) : (
-                      <AlertTriangle className="size-3.5 shrink-0 text-muted-foreground" />
-                    )}
-                    <div className="min-w-0 flex-1">
-                      <div className="truncate text-sm">{option.label}</div>
-                      <div className="mt-0.5 truncate text-[11px] text-muted-foreground">
-                        {option.detail}
+                </div>
+              </CommandItem>
+            ))}
+            {/* Why: not-connected hosts are dormant, not errors — a separator (no heading) sets
+                them off as a secondary group without labeling the recipe/add-host rows below. */}
+            {needsSetupHostOptions.length > 0 ? (
+              <>
+                <CommandSeparator />
+                {needsSetupHostOptions.map((option) => (
+                  // Why: setup-on-host is a follow-up; this row only explains why the host cannot
+                  // run the workspace yet. It stays highlightable (no `disabled`) so it matches the
+                  // hover of the other rows, but selecting it is a no-op since it isn't ready.
+                  <CommandItem
+                    key={option.id}
+                    value={option.id}
+                    onSelect={() => {}}
+                    onPointerEnter={closeSubmenus}
+                    onFocus={closeSubmenus}
+                    className="items-center gap-2 px-3 py-2"
+                  >
+                    <div className="flex min-w-0 flex-1 items-center gap-2 opacity-60">
+                      <Check className="size-4 opacity-0" />
+                      {/* Why: reserve the alarm glyph for a genuine connection error; a dormant
+                          disconnected host gets the neutral server icon. */}
+                      {option.attention ? (
+                        <AlertTriangle className="size-3.5 shrink-0 text-muted-foreground" />
+                      ) : (
+                        <Server className="size-3.5 shrink-0 text-muted-foreground" />
+                      )}
+                      <div className="min-w-0 flex-1">
+                        <div className="truncate text-sm">{option.label}</div>
+                        <div className="mt-0.5 truncate text-[11px] text-muted-foreground">
+                          {option.detail}
+                        </div>
                       </div>
                     </div>
-                  </div>
-                  {option.connectAction && onConnectHost ? (
-                    <Button
-                      type="button"
-                      variant="ghost"
-                      size="xs"
-                      className="ml-1 shrink-0 text-muted-foreground/50 hover:text-muted-foreground"
-                      disabled={connectingHostId !== null}
-                      onPointerDown={(event) => {
-                        event.preventDefault()
-                        event.stopPropagation()
-                      }}
-                      onClick={(event) => {
-                        event.preventDefault()
-                        event.stopPropagation()
-                        setOpen(false)
-                        void connectHost(option)
-                      }}
-                    >
-                      {translate('auto.components.NewWorkspaceComposerCard.connectHost', 'Connect')}
-                    </Button>
-                  ) : null}
-                </CommandItem>
-              )
-            )}
+                    {option.connectAction && onConnectHost ? (
+                      <Button
+                        type="button"
+                        variant="ghost"
+                        size="xs"
+                        className="ml-1 shrink-0 text-muted-foreground/50 hover:text-muted-foreground"
+                        // Why: only disable the row being connected — not every row — so one
+                        // stuck/slow connect can't lock out connecting to the other hosts.
+                        disabled={connectingHostIds.has(option.hostId)}
+                        onPointerDown={(event) => {
+                          event.preventDefault()
+                          event.stopPropagation()
+                        }}
+                        onClick={(event) => {
+                          event.preventDefault()
+                          event.stopPropagation()
+                          setOpen(false)
+                          void connectHost(option)
+                        }}
+                      >
+                        {translate(
+                          'auto.components.NewWorkspaceComposerCard.connectHost',
+                          'Connect'
+                        )}
+                      </Button>
+                    ) : null}
+                  </CommandItem>
+                ))}
+              </>
+            ) : null}
+            {/* Why: separate the host list from the environment/add-host actions below, mirroring
+                the divider above the not-connected group so the two action rows read as their own
+                section rather than trailing the hosts. */}
+            {readyHostOptions.length > 0 || needsSetupHostOptions.length > 0 ? (
+              <CommandSeparator />
+            ) : null}
             {recipes.length > 0 ? (
               <Popover open={vmRecipesOpen} onOpenChange={setVmRecipesOpen}>
                 <PopoverTrigger asChild>
@@ -455,7 +551,9 @@ function WorkspaceRunTargetCombobox({
                       only rendering under the first host, the uneven height, and the double-highlight. */}
                   <CommandItem
                     value="per-workspace-env"
-                    onSelect={() => setVmRecipesOpen(true)}
+                    onSelect={openVmRecipesSubmenu}
+                    onPointerEnter={openVmRecipesSubmenu}
+                    onFocus={openVmRecipesSubmenu}
                     className="items-center gap-2 px-3 py-2"
                   >
                     <Check
@@ -518,7 +616,9 @@ function WorkspaceRunTargetCombobox({
               <PopoverTrigger asChild>
                 <CommandItem
                   value="add-host"
-                  onSelect={() => setHostActionsOpen(true)}
+                  onSelect={openHostActionsSubmenu}
+                  onPointerEnter={openHostActionsSubmenu}
+                  onFocus={openHostActionsSubmenu}
                   className="items-center gap-2 px-3 py-2"
                 >
                   <Check className="size-4 opacity-0" />
@@ -538,7 +638,9 @@ function WorkspaceRunTargetCombobox({
                 </CommandItem>
               </PopoverTrigger>
               <PopoverContent side="right" align="start" sideOffset={6} className="w-72 p-0">
-                <Command>
+                {/* Why: pin an empty value so cmdk doesn't auto-highlight the first row on open —
+                    matches the recipes submenu, which leaves nothing highlighted by default. */}
+                <Command value="">
                   <CommandList>
                     <CommandItem
                       value="add-ssh-host"
@@ -593,47 +695,14 @@ function WorkspaceRunTargetCombobox({
   )
 }
 
-function SetupCommandPreview({
-  setupConfig,
-  headerAction
-}: {
-  setupConfig: SetupConfig
-  headerAction?: React.ReactNode
-}): React.JSX.Element {
-  if (setupConfig.source === 'yaml') {
-    return (
-      <div className="rounded-2xl border border-border/60 bg-muted/40 shadow-inner">
-        <div className="flex items-center justify-between gap-3 border-b border-border/60 px-4 py-2.5">
-          <div className="font-mono text-[11px] text-muted-foreground">
-            {translate('auto.components.NewWorkspaceComposerCard.23bb365554', 'orca.yaml')}
-          </div>
-          {headerAction}
-        </div>
-        {/* Why: long orca.yaml scripts must not grow the create dialog past the viewport. */}
-        <pre className="max-h-48 overflow-auto whitespace-pre-wrap break-words px-4 py-3 font-mono text-[12px] leading-5 text-emerald-700 scrollbar-sleek dark:text-emerald-300/95">
-          {setupConfig.command}
-        </pre>
-      </div>
-    )
-  }
-
+function SetupCommandPreview({ setupConfig }: { setupConfig: SetupConfig }): React.JSX.Element {
+  // Why: just the script in a quiet monochrome card — the source label (orca.yaml / local) and
+  // the run-setup toggle live in the section header above, so the card carries no chrome of its
+  // own. Neutral foreground avoids the colored-terminal look. max-h keeps long scripts from
+  // growing the dialog past the viewport.
   return (
-    <div className="rounded-2xl border border-border/60 bg-muted/35 px-4 py-3 shadow-inner">
-      <div className="mb-2 flex items-center justify-between gap-3">
-        <div className="text-[11px] uppercase tracking-[0.18em] text-muted-foreground">
-          {setupConfig.source === 'both'
-            ? translate(
-                'auto.components.NewWorkspaceComposerCard.e5db1b0419',
-                'Combined setup command'
-              )
-            : translate(
-                'auto.components.NewWorkspaceComposerCard.7711ad5122',
-                'Local setup command'
-              )}
-        </div>
-        {headerAction}
-      </div>
-      <pre className="max-h-48 overflow-auto whitespace-pre-wrap break-words font-mono text-[12px] leading-5 text-foreground scrollbar-sleek">
+    <div className="rounded-md border border-border/60 bg-muted/40 shadow-inner">
+      <pre className="max-h-48 overflow-auto whitespace-pre-wrap break-words px-4 py-3 font-mono text-[12px] leading-5 text-foreground/90 scrollbar-sleek">
         {setupConfig.command}
       </pre>
     </div>
@@ -798,10 +867,7 @@ export default function NewWorkspaceComposerCard({
   useTranslation()
   const { isFileDragOver, dragHandlers } = useComposerFileDragOver()
   const openModal = useAppStore((s) => s.openModal)
-  const closeModal = useAppStore((s) => s.closeModal)
   const activeModal = useAppStore((s) => s.activeModal)
-  const openSettingsPage = useAppStore((s) => s.openSettingsPage)
-  const openSettingsTarget = useAppStore((s) => s.openSettingsTarget)
   const defaultTuiAgent = useAppStore((s) => s.settings?.defaultTuiAgent ?? null)
   const disabledTuiAgents = useAppStore((s) => s.settings?.disabledTuiAgents ?? [])
   const updateSettings = useAppStore((s) => s.updateSettings)
@@ -909,26 +975,16 @@ export default function NewWorkspaceComposerCard({
   const handleAddRepo = React.useCallback((): void => {
     openModal('add-repo')
   }, [openModal])
-  const openHostSettingsTarget = React.useCallback(
-    (target: 'add-remote-orca-server' | 'add-ssh-host'): void => {
-      // Why: the composer can be modal; close it before deep-linking to the
-      // existing host-management forms in Settings.
-      closeModal()
-      openSettingsPage()
-      openSettingsTarget({
-        pane: target === 'add-ssh-host' ? 'ssh' : 'servers',
-        repoId: null,
-        intent: target
-      })
-    },
-    [closeModal, openSettingsPage, openSettingsTarget]
-  )
+  // Why: open the host-add form inline over the composer (not via Settings) so the user's
+  // in-progress workspace form survives; the new host lands in the store and flows straight
+  // back into the run-target picker without a navigation round-trip.
+  const [addRemoteHostMode, setAddRemoteHostMode] = React.useState<AddRemoteHostMode | null>(null)
   const handleAddSshHost = React.useCallback((): void => {
-    openHostSettingsTarget('add-ssh-host')
-  }, [openHostSettingsTarget])
+    setAddRemoteHostMode('ssh')
+  }, [])
   const handleAddRemoteServer = React.useCallback((): void => {
-    openHostSettingsTarget('add-remote-orca-server')
-  }, [openHostSettingsTarget])
+    setAddRemoteHostMode('server')
+  }, [])
   const handleConnectRunTargetHost = React.useCallback(
     async (option: NeedsSetupProjectHostOption): Promise<void> => {
       const action = option.connectAction
@@ -937,7 +993,10 @@ export default function NewWorkspaceComposerCard({
       }
       try {
         if (action.kind === 'ssh') {
-          await window.api.ssh.connect({ targetId: action.targetId })
+          // Why: ssh.connect has no built-in timeout; a stalled connect would otherwise leave the
+          // row's spinner/disabled state stuck forever. Bound the UI wait — the backend keeps
+          // connecting and the picker updates from store SSH state if it later succeeds.
+          await withUiConnectTimeout(window.api.ssh.connect({ targetId: action.targetId }))
           return
         }
 
@@ -1340,6 +1399,9 @@ export default function NewWorkspaceComposerCard({
             with the content or footer below it while preserving normal spacing
             from the Agent field above. */}
         <div className="!mb-2">
+          {/* Why: -ml-2 pulls the button so its label aligns flush-left with the field labels above
+              while the padded hover highlight extends past the label on the left. The scroll
+              container's px-2 inset gives that overhang room so it isn't clipped. */}
           <Button
             type="button"
             variant="ghost"
@@ -1462,7 +1524,9 @@ export default function NewWorkspaceComposerCard({
                     <label className="text-xs font-medium text-muted-foreground">
                       {setupConfigLabel}
                     </label>
-                    <span className="rounded-full border border-border/70 bg-muted/45 px-2 py-0.5 text-[10px] font-medium uppercase tracking-[0.14em] text-foreground/70">
+                    {/* Why: a quiet monospace filename chip (not an uppercase tag) — orca.yaml is a
+                        literal filename, so it reads as code, matching the app's path styling. */}
+                    <span className="rounded border border-border/50 bg-muted/30 px-1.5 py-0.5 font-mono text-[10px] text-muted-foreground">
                       {setupConfig.source === 'yaml'
                         ? translate(
                             'auto.components.NewWorkspaceComposerCard.23bb365554',
@@ -1483,39 +1547,70 @@ export default function NewWorkspaceComposerCard({
                   {/* Why: `orca.yaml` is the committed source of truth for shared setup,
                       so the preview reconstructs the real YAML shape instead of showing a raw
                       shell blob that hides where the command came from. */}
-                  <SetupCommandPreview
-                    setupConfig={setupConfig}
-                    headerAction={
-                      requiresExplicitSetupChoice ? null : (
-                        <label className="group flex items-center gap-2 text-xs text-foreground">
+                  <SetupCommandPreview setupConfig={setupConfig} />
+
+                  {/* Why: group the run-setup and wait-for-setup toggles in one bordered box so
+                      they read as a single settings cluster, aligned hard-right. */}
+                  {!requiresExplicitSetupChoice || showSetupAgentStartupPolicy ? (
+                    <div className="rounded-md border border-border/60 bg-muted/25">
+                      {requiresExplicitSetupChoice ? null : (
+                        <div className="flex items-center justify-between gap-3 p-3">
+                          <span className="text-xs font-medium text-foreground">
+                            {setupRunLabel}
+                          </span>
+                          <SettingsSwitch
+                            checked={resolvedSetupDecision === 'run'}
+                            onChange={() =>
+                              onSetupDecisionChange(
+                                resolvedSetupDecision === 'run' ? 'skip' : 'run'
+                              )
+                            }
+                            ariaLabel={setupRunLabel}
+                          />
+                        </div>
+                      )}
+                      {showSetupAgentStartupPolicy ? (
+                        // Why: nothing to wait for when setup won't run — disable the toggle and
+                        // dim the label so it reads as inactive (the switch dims itself).
+                        <div className="flex items-start justify-between gap-3 p-3">
                           <span
                             className={cn(
-                              'flex size-4 items-center justify-center rounded-[3px] border transition shadow-sm',
-                              resolvedSetupDecision === 'run'
-                                ? 'border-emerald-500/60 bg-emerald-500 text-white'
-                                : 'border-foreground/20 bg-background dark:border-white/20 dark:bg-muted/10'
+                              'min-w-0 space-y-1',
+                              resolvedSetupDecision === 'run' ? '' : 'opacity-50'
                             )}
                           >
-                            <Check
-                              className={cn(
-                                'size-3 transition-opacity',
-                                resolvedSetupDecision === 'run' ? 'opacity-100' : 'opacity-0'
+                            <span className="block text-xs font-medium text-foreground">
+                              {translate(
+                                'auto.components.NewWorkspaceComposerCard.waitForSetupBeforeAgent',
+                                'Wait for setup to complete before starting agent'
                               )}
-                            />
+                            </span>
+                            <span className="block text-[11px] text-muted-foreground">
+                              {translate(
+                                'auto.components.NewWorkspaceComposerCard.waitForSetupBeforeAgentHelp',
+                                'Turn this on when setup installs dependencies, MCP servers, or config files the agent needs during startup.'
+                              )}
+                            </span>
                           </span>
-                          <input
-                            type="checkbox"
-                            checked={resolvedSetupDecision === 'run'}
-                            onChange={(event) =>
-                              onSetupDecisionChange(event.target.checked ? 'run' : 'skip')
+                          <SettingsSwitch
+                            checked={setupAgentStartupPolicy === 'wait-for-setup'}
+                            disabled={resolvedSetupDecision !== 'run'}
+                            onChange={() =>
+                              onSetupAgentStartupPolicyChange(
+                                setupAgentStartupPolicy === 'wait-for-setup'
+                                  ? 'start-immediately'
+                                  : 'wait-for-setup'
+                              )
                             }
-                            className="sr-only"
+                            ariaLabel={translate(
+                              'auto.components.NewWorkspaceComposerCard.waitForSetupBeforeAgent',
+                              'Wait for setup to complete before starting agent'
+                            )}
                           />
-                          <span>{setupRunLabel}</span>
-                        </label>
-                      )
-                    }
-                  />
+                        </div>
+                      ) : null}
+                    </div>
+                  ) : null}
 
                   {requiresExplicitSetupChoice ? (
                     <div className="space-y-2">
@@ -1555,39 +1650,6 @@ export default function NewWorkspaceComposerCard({
                       ) : null}
                     </div>
                   ) : null}
-
-                  {showSetupAgentStartupPolicy ? (
-                    <div className="flex items-start justify-between gap-3 rounded-md border border-border/60 bg-muted/25 p-3">
-                      <span className="min-w-0 space-y-1">
-                        <span className="block text-xs font-medium text-foreground">
-                          {translate(
-                            'auto.components.NewWorkspaceComposerCard.waitForSetupBeforeAgent',
-                            'Wait for setup to complete before starting agent'
-                          )}
-                        </span>
-                        <span className="block text-[11px] text-muted-foreground">
-                          {translate(
-                            'auto.components.NewWorkspaceComposerCard.waitForSetupBeforeAgentHelp',
-                            'Turn this on when setup installs dependencies, MCP servers, or config files the agent needs during startup.'
-                          )}
-                        </span>
-                      </span>
-                      <SettingsSwitch
-                        checked={setupAgentStartupPolicy === 'wait-for-setup'}
-                        onChange={() =>
-                          onSetupAgentStartupPolicyChange(
-                            setupAgentStartupPolicy === 'wait-for-setup'
-                              ? 'start-immediately'
-                              : 'wait-for-setup'
-                          )
-                        }
-                        ariaLabel={translate(
-                          'auto.components.NewWorkspaceComposerCard.waitForSetupBeforeAgent',
-                          'Wait for setup to complete before starting agent'
-                        )}
-                      />
-                    </div>
-                  ) : null}
                 </div>
               ) : null}
 
@@ -1685,6 +1747,10 @@ export default function NewWorkspaceComposerCard({
           </span>
         </Button>
       </div>
+      {/* Why: layer the host-add form over the composer instead of navigating to Settings so
+          the in-progress workspace form is preserved; on success the new host flows back into
+          the run-target picker via the store. */}
+      <AddRemoteHostDialog mode={addRemoteHostMode} onOpenChange={setAddRemoteHostMode} />
     </div>
   )
 }
diff --git a/src/renderer/src/components/NewWorkspaceComposerModal.tsx b/src/renderer/src/components/NewWorkspaceComposerModal.tsx
index 3bbac8e9676..d9753ff1543 100644
--- a/src/renderer/src/components/NewWorkspaceComposerModal.tsx
+++ b/src/renderer/src/components/NewWorkspaceComposerModal.tsx
@@ -258,10 +258,11 @@ function QuickTabBody({
       </DialogHeader>
       <NewWorkspaceComposerCard
         contextualTourSource={modalData.contextualTourSource}
-        // Why: the scroll container clips children, while Orca's standard
-        // field focus ring paints 3px outside the control. Inset both sides so
-        // keyboard focus stays fully visible at the dialog edges.
-        containerClassName="min-h-0 flex-1 overflow-y-auto px-1 scrollbar-sleek"
+        // Why: the scroll container clips children (overflow-y-auto forces overflow-x to auto),
+        // while Orca's standard field focus ring paints 3px outside the control and the ghost
+        // "Advanced" disclosure pulls its padded hover highlight ~8px left to align its label with
+        // the field labels. Inset px-2 so both stay fully visible instead of clipped at the edge.
+        containerClassName="min-h-0 flex-1 overflow-y-auto px-2 scrollbar-sleek"
         composerRef={composerRef}
         onComposerNodeChange={onComposerNodeChange}
         nameInputRef={nameInputRef}
diff --git a/src/renderer/src/components/new-workspace/ProjectHostSetupCombobox.test.tsx b/src/renderer/src/components/new-workspace/ProjectHostSetupCombobox.test.tsx
index 3026fb1b241..7f2edffe8eb 100644
--- a/src/renderer/src/components/new-workspace/ProjectHostSetupCombobox.test.tsx
+++ b/src/renderer/src/components/new-workspace/ProjectHostSetupCombobox.test.tsx
@@ -62,7 +62,8 @@ const needsSetupOption: NeedsSetupProjectHostOption = {
   hostId: 'ssh:builder',
   label: 'Builder',
   detail: 'Project not set up on this host',
-  isAvailable: true
+  isAvailable: true,
+  attention: false
 }
 
 const unavailableOption: NeedsSetupProjectHostOption = {
@@ -72,7 +73,8 @@ const unavailableOption: NeedsSetupProjectHostOption = {
   hostId: 'runtime:old',
   label: 'Old server',
   detail: 'Update Orca on this host to set up projects',
-  isAvailable: false
+  isAvailable: false,
+  attention: false
 }
 
 beforeEach(() => {
diff --git a/src/renderer/src/components/settings/SshHostAdvancedFields.tsx b/src/renderer/src/components/settings/SshHostAdvancedFields.tsx
new file mode 100644
index 00000000000..f8f4d72a6b8
--- /dev/null
+++ b/src/renderer/src/components/settings/SshHostAdvancedFields.tsx
@@ -0,0 +1,178 @@
+import { ChevronDown } from 'lucide-react'
+import {
+  DEFAULT_BOUNDED_SSH_RELAY_GRACE_PERIOD_SECONDS,
+  MAX_SSH_RELAY_GRACE_PERIOD_SECONDS,
+  MIN_SSH_RELAY_GRACE_PERIOD_SECONDS
+} from '../../../../shared/ssh-types'
+import { Button } from '@/components/ui/button'
+import { Collapsible, CollapsibleContent, CollapsibleTrigger } from '@/components/ui/collapsible'
+import { Input } from '@/components/ui/input'
+import { Label } from '@/components/ui/label'
+import { cn } from '@/lib/utils'
+import { SettingsSwitch } from './SettingsFormControls'
+import type { EditingTarget } from './ssh-target-draft'
+import { translate } from '@/i18n/i18n'
+
+// Why: mirror the composer's "Advanced" disclosure (ghost button + rotating chevron) so the
+// add-host dialog reads the same, while reusing the exact field labels/help text from the
+// Settings SSH form (proxy, jump host, connection reuse, terminal persistence).
+export function SshHostAdvancedFields({
+  open,
+  onOpenChange,
+  form,
+  disabled,
+  onFormChange
+}: {
+  open: boolean
+  onOpenChange: (open: boolean) => void
+  form: EditingTarget
+  disabled: boolean
+  onFormChange: (updater: (prev: EditingTarget) => EditingTarget) => void
+}): React.JSX.Element {
+  return (
+    <Collapsible open={open} onOpenChange={onOpenChange} className="col-span-2 sm:col-span-2">
+      <CollapsibleTrigger asChild>
+        {/* Why: no negative margin — the button's highlight would overhang and get clipped by the
+            dialog/settings containers. A small left padding keeps it flush without overflow. */}
+        <Button type="button" variant="ghost" size="sm" className="px-2 text-xs">
+          {translate('auto.components.sidebar.AddRemoteHostDialog.advanced', 'Advanced')}
+          <ChevronDown className={cn('size-4 transition-transform', open && 'rotate-180')} />
+        </Button>
+      </CollapsibleTrigger>
+      <CollapsibleContent className="collapsible-height-content">
+        <div className="space-y-4 pt-3">
+          <div className="space-y-1.5">
+            <Label htmlFor="add-ssh-proxy-command">
+              {translate('auto.components.settings.SshTargetForm.c7d0e18ecb', 'Proxy Command')}
+            </Label>
+            <Input
+              id="add-ssh-proxy-command"
+              value={form.proxyCommand}
+              disabled={disabled}
+              onChange={(e) => onFormChange((f) => ({ ...f, proxyCommand: e.target.value }))}
+              placeholder={translate(
+                'auto.components.settings.SshTargetForm.f42d844544',
+                'e.g. cloudflared access ssh --hostname %h'
+              )}
+            />
+            <p className="text-[11px] text-muted-foreground">
+              {translate(
+                'auto.components.settings.SshTargetForm.3b01ca44a0',
+                'Optional. Used for tunneling (e.g. Cloudflare Access, ProxyCommand).'
+              )}
+            </p>
+          </div>
+          <div className="space-y-1.5">
+            <Label htmlFor="add-ssh-jump-host">
+              {translate('auto.components.settings.SshTargetForm.b2ab248ded', 'Jump Host')}
+            </Label>
+            <Input
+              id="add-ssh-jump-host"
+              value={form.jumpHost}
+              disabled={disabled}
+              onChange={(e) => onFormChange((f) => ({ ...f, jumpHost: e.target.value }))}
+              placeholder={translate(
+                'auto.components.settings.SshTargetForm.11bcb4507a',
+                'bastion.example.com'
+              )}
+            />
+            <p className="text-[11px] text-muted-foreground">
+              {translate(
+                'auto.components.settings.SshTargetForm.feae1d1e69',
+                'Optional. Equivalent to ProxyJump / ssh -J.'
+              )}
+            </p>
+          </div>
+          <div className="flex items-start justify-between gap-4 py-1 text-xs">
+            <div className="min-w-0 flex-1 space-y-0.5">
+              <Label className="text-xs font-medium">
+                {translate(
+                  'auto.components.settings.SshTargetForm.8c922dffba',
+                  'Reuse SSH connection for faster setup'
+                )}
+              </Label>
+              <p className="text-muted-foreground">
+                {translate(
+                  'auto.components.settings.SshTargetForm.53e9aabfc0',
+                  'Uses OpenSSH multiplexing when available. Turn off for hosts with custom SSH restrictions.'
+                )}
+              </p>
+            </div>
+            <SettingsSwitch
+              checked={form.systemSshConnectionReuse}
+              onChange={() =>
+                onFormChange((f) => ({
+                  ...f,
+                  systemSshConnectionReuse: !f.systemSshConnectionReuse
+                }))
+              }
+              ariaLabel={translate(
+                'auto.components.settings.SshTargetForm.8c922dffba',
+                'Reuse SSH connection for faster setup'
+              )}
+            />
+          </div>
+          <div className="flex items-start justify-between gap-4 py-1 text-xs">
+            <div className="min-w-0 flex-1 space-y-0.5">
+              <Label className="text-xs font-medium">
+                {translate(
+                  'auto.components.settings.SshTargetForm.71fc546097',
+                  'Keep terminals alive until reset'
+                )}
+              </Label>
+              <p className="text-muted-foreground">
+                {translate(
+                  'auto.components.settings.SshTargetForm.b574994adc',
+                  'Use End Remote Terminals or Reset Relay when you want to stop them.'
+                )}
+              </p>
+            </div>
+            <SettingsSwitch
+              checked={form.relayKeepAliveUntilReset}
+              onChange={() =>
+                onFormChange((f) => ({
+                  ...f,
+                  relayKeepAliveUntilReset: !f.relayKeepAliveUntilReset
+                }))
+              }
+              ariaLabel={translate(
+                'auto.components.settings.SshTargetForm.71fc546097',
+                'Keep terminals alive until reset'
+              )}
+            />
+          </div>
+          <div className="space-y-1.5">
+            <Label htmlFor="add-ssh-relay-grace-period" className="text-xs text-muted-foreground">
+              {translate(
+                'auto.components.settings.SshTargetForm.55c56cf2c7',
+                'Timeout after disconnect (seconds)'
+              )}
+            </Label>
+            <Input
+              id="add-ssh-relay-grace-period"
+              type={form.relayKeepAliveUntilReset ? 'text' : 'number'}
+              value={
+                form.relayKeepAliveUntilReset
+                  ? translate('auto.components.settings.SshTargetForm.7c13f58c91', 'Until reset')
+                  : form.relayGracePeriodSeconds
+              }
+              disabled={disabled || form.relayKeepAliveUntilReset}
+              onChange={(e) =>
+                onFormChange((f) => ({ ...f, relayGracePeriodSeconds: e.target.value }))
+              }
+              placeholder={String(DEFAULT_BOUNDED_SSH_RELAY_GRACE_PERIOD_SECONDS)}
+              min={MIN_SSH_RELAY_GRACE_PERIOD_SECONDS}
+              max={MAX_SSH_RELAY_GRACE_PERIOD_SECONDS}
+            />
+            <p className="text-[11px] text-muted-foreground">
+              {translate(
+                'auto.components.settings.SshTargetForm.1b19b00e93',
+                'Bounded timeouts must be between 60 seconds and 7 days.'
+              )}
+            </p>
+          </div>
+        </div>
+      </CollapsibleContent>
+    </Collapsible>
+  )
+}
diff --git a/src/renderer/src/components/settings/SshTargetAdvancedConnectionSection.tsx b/src/renderer/src/components/settings/SshTargetAdvancedConnectionSection.tsx
deleted file mode 100644
index 0bdbd3d3505..00000000000
--- a/src/renderer/src/components/settings/SshTargetAdvancedConnectionSection.tsx
+++ /dev/null
@@ -1,106 +0,0 @@
-import { Input } from '../ui/input'
-import { Label } from '../ui/label'
-import { SettingsSwitch } from './SettingsFormControls'
-import { SshTargetFormCollapsibleSection } from './SshTargetFormCollapsibleSection'
-import type { EditingTarget } from './ssh-target-draft'
-import { translate } from '@/i18n/i18n'
-
-type SshTargetAdvancedConnectionSectionProps = {
-  open: boolean
-  onOpenChange: (open: boolean) => void
-  form: EditingTarget
-  onFormChange: (updater: (prev: EditingTarget) => EditingTarget) => void
-}
-
-export function SshTargetAdvancedConnectionSection({
-  open,
-  onOpenChange,
-  form,
-  onFormChange
-}: SshTargetAdvancedConnectionSectionProps): React.JSX.Element {
-  return (
-    <SshTargetFormCollapsibleSection
-      open={open}
-      onOpenChange={onOpenChange}
-      title={translate('auto.components.settings.SshTargetForm.4a342f44c1', 'Advanced Connection')}
-      description={translate(
-        'auto.components.settings.SshTargetForm.e9609ddca6',
-        'Proxy, jump host, and connection reuse'
-      )}
-    >
-      <div className="space-y-1.5">
-        <Label>
-          {translate('auto.components.settings.SshTargetForm.c7d0e18ecb', 'Proxy Command')}
-        </Label>
-        <Input
-          value={form.proxyCommand}
-          onChange={(e) => onFormChange((f) => ({ ...f, proxyCommand: e.target.value }))}
-          placeholder={translate(
-            'auto.components.settings.SshTargetForm.f42d844544',
-            'e.g. cloudflared access ssh --hostname %h'
-          )}
-        />
-        <p className="text-[11px] text-muted-foreground">
-          {translate(
-            'auto.components.settings.SshTargetForm.3b01ca44a0',
-            'Optional. Used for tunneling (e.g. Cloudflare Access, ProxyCommand).'
-          )}
-        </p>
-      </div>
-      <div className="space-y-1.5">
-        <Label>{translate('auto.components.settings.SshTargetForm.b2ab248ded', 'Jump Host')}</Label>
-        <Input
-          value={form.jumpHost}
-          onChange={(e) => onFormChange((f) => ({ ...f, jumpHost: e.target.value }))}
-          placeholder={translate(
-            'auto.components.settings.SshTargetForm.11bcb4507a',
-            'bastion.example.com'
-          )}
-        />
-        <p className="text-[11px] text-muted-foreground">
-          {translate(
-            'auto.components.settings.SshTargetForm.feae1d1e69',
-            'Optional. Equivalent to ProxyJump / ssh -J.'
-          )}
-        </p>
-      </div>
-      <div className="flex items-start justify-between gap-4 py-1 text-xs">
-        <div className="min-w-0 flex-1 space-y-0.5">
-          <Label className="text-xs font-medium">
-            {translate(
-              'auto.components.settings.SshTargetForm.8c922dffba',
-              'Reuse SSH connection for faster setup'
-            )}
-          </Label>
-          <p className="text-muted-foreground">
-            {translate(
-              'auto.components.settings.SshTargetForm.53e9aabfc0',
-              'Uses OpenSSH multiplexing when available. Turn off for hosts with custom SSH restrictions.'
-            )}
-          </p>
-        </div>
-        <SettingsSwitch
-          checked={form.systemSshConnectionReuse}
-          onChange={() =>
-            onFormChange((f) => ({
-              ...f,
-              systemSshConnectionReuse: !f.systemSshConnectionReuse
-            }))
-          }
-          ariaLabel={translate(
-            'auto.components.settings.SshTargetForm.8c922dffba',
-            'Reuse SSH connection for faster setup'
-          )}
-        />
-      </div>
-    </SshTargetFormCollapsibleSection>
-  )
-}
-
-export function hasAdvancedConnectionValues(form: EditingTarget): boolean {
-  return (
-    form.proxyCommand.trim().length > 0 ||
-    form.jumpHost.trim().length > 0 ||
-    !form.systemSshConnectionReuse
-  )
-}
diff --git a/src/renderer/src/components/settings/SshTargetForm.tsx b/src/renderer/src/components/settings/SshTargetForm.tsx
index fbba5918e50..cec3d8b8b7c 100644
--- a/src/renderer/src/components/settings/SshTargetForm.tsx
+++ b/src/renderer/src/components/settings/SshTargetForm.tsx
@@ -3,12 +3,12 @@ import { FileKey } from 'lucide-react'
 import { Button } from '../ui/button'
 import { Input } from '../ui/input'
 import { Label } from '../ui/label'
+import { SshHostAdvancedFields } from './SshHostAdvancedFields'
 import {
-  SshTargetAdvancedConnectionSection,
-  hasAdvancedConnectionValues
-} from './SshTargetAdvancedConnectionSection'
-import { SshTargetTerminalPersistenceSection } from './SshTargetTerminalPersistenceSection'
-import { applyParsedSshHostInput, type EditingTarget } from './ssh-target-draft'
+  applyParsedSshHostInput,
+  hasAdvancedConnectionValues,
+  type EditingTarget
+} from './ssh-target-draft'
 import { translate } from '@/i18n/i18n'
 export { EMPTY_FORM, type EditingTarget } from './ssh-target-draft'
 
@@ -27,9 +27,10 @@ export function SshTargetForm({
   onSave,
   onCancel
 }: SshTargetFormProps): React.JSX.Element {
+  // Why: reveal Advanced by default when editing a target that already has custom proxy/jump/
+  // reuse values, so those aren't hidden; otherwise it starts collapsed.
   const hasAdvancedConnectionFields = hasAdvancedConnectionValues(form)
-  const [advancedConnectionOpen, setAdvancedConnectionOpen] = useState(hasAdvancedConnectionFields)
-  const [terminalPersistenceOpen, setTerminalPersistenceOpen] = useState(true)
+  const [advancedOpen, setAdvancedOpen] = useState(hasAdvancedConnectionFields)
   const lastEditingIdRef = useRef(editingId)
 
   useEffect(() => {
@@ -37,8 +38,7 @@ export function SshTargetForm({
       return
     }
     lastEditingIdRef.current = editingId
-    setAdvancedConnectionOpen(hasAdvancedConnectionFields)
-    setTerminalPersistenceOpen(true)
+    setAdvancedOpen(hasAdvancedConnectionFields)
   }, [editingId, hasAdvancedConnectionFields])
 
   return (
@@ -122,16 +122,11 @@ export function SshTargetForm({
             )}
           </p>
         </div>
-        <SshTargetAdvancedConnectionSection
-          open={advancedConnectionOpen}
-          onOpenChange={setAdvancedConnectionOpen}
-          form={form}
-          onFormChange={onFormChange}
-        />
-        <SshTargetTerminalPersistenceSection
-          open={terminalPersistenceOpen}
-          onOpenChange={setTerminalPersistenceOpen}
+        <SshHostAdvancedFields
+          open={advancedOpen}
+          onOpenChange={setAdvancedOpen}
           form={form}
+          disabled={false}
           onFormChange={onFormChange}
         />
       </div>
diff --git a/src/renderer/src/components/settings/SshTargetFormCollapsibleSection.tsx b/src/renderer/src/components/settings/SshTargetFormCollapsibleSection.tsx
deleted file mode 100644
index 13d9b3e784e..00000000000
--- a/src/renderer/src/components/settings/SshTargetFormCollapsibleSection.tsx
+++ /dev/null
@@ -1,50 +0,0 @@
-import { ChevronDown } from 'lucide-react'
-import { Button } from '../ui/button'
-import { Collapsible, CollapsibleContent, CollapsibleTrigger } from '../ui/collapsible'
-import { cn } from '@/lib/utils'
-
-type SshTargetFormCollapsibleSectionProps = {
-  open: boolean
-  onOpenChange: (open: boolean) => void
-  title: string
-  description: string
-  children: React.ReactNode
-}
-
-export function SshTargetFormCollapsibleSection({
-  open,
-  onOpenChange,
-  title,
-  description,
-  children
-}: SshTargetFormCollapsibleSectionProps): React.JSX.Element {
-  return (
-    <Collapsible
-      open={open}
-      onOpenChange={onOpenChange}
-      className="col-span-2 border-t border-border/50 pt-2"
-    >
-      <CollapsibleTrigger asChild>
-        <Button
-          type="button"
-          variant="ghost"
-          size="sm"
-          className="-ml-2 h-auto w-[calc(100%+0.5rem)] justify-between gap-3 px-2 py-1.5 text-left"
-        >
-          <span className="min-w-0 space-y-0.5">
-            <span className="block text-sm font-medium text-foreground">{title}</span>
-            <span className="block text-[11px] font-normal text-muted-foreground">
-              {description}
-            </span>
-          </span>
-          <ChevronDown
-            className={cn('size-4 shrink-0 transition-transform', open && 'rotate-180')}
-          />
-        </Button>
-      </CollapsibleTrigger>
-      <CollapsibleContent className="collapsible-height-content">
-        <div className="space-y-4 pt-3">{children}</div>
-      </CollapsibleContent>
-    </Collapsible>
-  )
-}
diff --git a/src/renderer/src/components/settings/SshTargetTerminalPersistenceSection.tsx b/src/renderer/src/components/settings/SshTargetTerminalPersistenceSection.tsx
deleted file mode 100644
index 0306bc3d3d8..00000000000
--- a/src/renderer/src/components/settings/SshTargetTerminalPersistenceSection.tsx
+++ /dev/null
@@ -1,98 +0,0 @@
-import {
-  DEFAULT_BOUNDED_SSH_RELAY_GRACE_PERIOD_SECONDS,
-  MAX_SSH_RELAY_GRACE_PERIOD_SECONDS,
-  MIN_SSH_RELAY_GRACE_PERIOD_SECONDS
-} from '../../../../shared/ssh-types'
-import { Input } from '../ui/input'
-import { Label } from '../ui/label'
-import { SettingsSwitch } from './SettingsFormControls'
-import { SshTargetFormCollapsibleSection } from './SshTargetFormCollapsibleSection'
-import type { EditingTarget } from './ssh-target-draft'
-import { translate } from '@/i18n/i18n'
-
-type SshTargetTerminalPersistenceSectionProps = {
-  open: boolean
-  onOpenChange: (open: boolean) => void
-  form: EditingTarget
-  onFormChange: (updater: (prev: EditingTarget) => EditingTarget) => void
-}
-
-export function SshTargetTerminalPersistenceSection({
-  open,
-  onOpenChange,
-  form,
-  onFormChange
-}: SshTargetTerminalPersistenceSectionProps): React.JSX.Element {
-  return (
-    <SshTargetFormCollapsibleSection
-      open={open}
-      onOpenChange={onOpenChange}
-      title={translate(
-        'auto.components.settings.SshTargetForm.92f80edbfd',
-        'Remote Terminal Persistence'
-      )}
-      description={translate(
-        'auto.components.settings.SshTargetForm.137e88ce8d',
-        'Remote terminals keep running after Orca disconnects from this host.'
-      )}
-    >
-      <div className="flex items-start justify-between gap-4 py-1 text-xs">
-        <div className="min-w-0 flex-1 space-y-0.5">
-          <Label className="text-xs font-medium">
-            {translate(
-              'auto.components.settings.SshTargetForm.71fc546097',
-              'Keep terminals alive until reset'
-            )}
-          </Label>
-          <p className="text-muted-foreground">
-            {translate(
-              'auto.components.settings.SshTargetForm.b574994adc',
-              'Use End Remote Terminals or Reset Relay when you want to stop them.'
-            )}
-          </p>
-        </div>
-        <SettingsSwitch
-          checked={form.relayKeepAliveUntilReset}
-          onChange={() =>
-            onFormChange((f) => ({
-              ...f,
-              relayKeepAliveUntilReset: !f.relayKeepAliveUntilReset
-            }))
-          }
-          ariaLabel={translate(
-            'auto.components.settings.SshTargetForm.71fc546097',
-            'Keep terminals alive until reset'
-          )}
-        />
-      </div>
-      <div className="space-y-1.5">
-        <Label htmlFor="ssh-relay-grace-period" className="text-xs text-muted-foreground">
-          {translate(
-            'auto.components.settings.SshTargetForm.55c56cf2c7',
-            'Timeout after disconnect (seconds)'
-          )}
-        </Label>
-        <Input
-          id="ssh-relay-grace-period"
-          type={form.relayKeepAliveUntilReset ? 'text' : 'number'}
-          value={
-            form.relayKeepAliveUntilReset
-              ? translate('auto.components.settings.SshTargetForm.7c13f58c91', 'Until reset')
-              : form.relayGracePeriodSeconds
-          }
-          onChange={(e) => onFormChange((f) => ({ ...f, relayGracePeriodSeconds: e.target.value }))}
-          placeholder={String(DEFAULT_BOUNDED_SSH_RELAY_GRACE_PERIOD_SECONDS)}
-          min={MIN_SSH_RELAY_GRACE_PERIOD_SECONDS}
-          max={MAX_SSH_RELAY_GRACE_PERIOD_SECONDS}
-          disabled={form.relayKeepAliveUntilReset}
-        />
-        <p className="text-[11px] text-muted-foreground">
-          {translate(
-            'auto.components.settings.SshTargetForm.1b19b00e93',
-            'Bounded timeouts must be between 60 seconds and 7 days.'
-          )}
-        </p>
-      </div>
-    </SshTargetFormCollapsibleSection>
-  )
-}
diff --git a/src/renderer/src/components/settings/ssh-target-draft.ts b/src/renderer/src/components/settings/ssh-target-draft.ts
index 2719f62add3..b9100232d16 100644
--- a/src/renderer/src/components/settings/ssh-target-draft.ts
+++ b/src/renderer/src/components/settings/ssh-target-draft.ts
@@ -137,6 +137,14 @@ export function getSshTargetDraftConnectionFields(draft: EditingTarget): {
   }
 }
 
+export function hasAdvancedConnectionValues(form: EditingTarget): boolean {
+  return (
+    form.proxyCommand.trim().length > 0 ||
+    form.jumpHost.trim().length > 0 ||
+    !form.systemSshConnectionReuse
+  )
+}
+
 export function parseRelayGracePeriodSeconds(draft: EditingTarget): number {
   return draft.relayKeepAliveUntilReset ? 0 : Number.parseInt(draft.relayGracePeriodSeconds, 10)
 }
diff --git a/src/renderer/src/components/sidebar/AddRemoteHostDialog.tsx b/src/renderer/src/components/sidebar/AddRemoteHostDialog.tsx
index c6b7870381f..65bd5672d13 100644
--- a/src/renderer/src/components/sidebar/AddRemoteHostDialog.tsx
+++ b/src/renderer/src/components/sidebar/AddRemoteHostDialog.tsx
@@ -33,6 +33,13 @@ export function AddRemoteHostDialog({
   onOpenChange
 }: AddRemoteHostDialogProps): React.JSX.Element {
   const open = mode !== null
+  // Why: `mode` drives both open-state and which form renders. On close it goes null while the
+  // dialog is still animating out, so the title/fields would flash to the SSH default. Latch the
+  // last non-null mode for rendering so the closing dialog keeps showing what the user saw.
+  const [renderMode, setRenderMode] = useState<AddRemoteHostMode>(mode ?? 'ssh')
+  if (mode !== null && mode !== renderMode) {
+    setRenderMode(mode)
+  }
   const [sshForm, setSshForm] = useState<EditingTarget>(EMPTY_FORM)
   const [serverName, setServerName] = useState('')
   const [pairingCode, setPairingCode] = useState('')
@@ -219,7 +226,7 @@ export function AddRemoteHostDialog({
       <DialogContent className="sm:max-w-xl">
         <DialogHeader>
           <DialogTitle>
-            {mode === 'server'
+            {renderMode === 'server'
               ? translate(
                   'auto.components.sidebar.AddRemoteHostDialog.serverTitle',
                   'Add remote server'
@@ -227,7 +234,7 @@ export function AddRemoteHostDialog({
               : translate('auto.components.sidebar.AddRemoteHostDialog.sshTitle', 'Add SSH host')}
           </DialogTitle>
           <DialogDescription>
-            {mode === 'server'
+            {renderMode === 'server'
               ? translate(
                   'auto.components.sidebar.AddRemoteHostDialog.serverDescription',
                   'Pair with Orca running on another computer.'
@@ -239,7 +246,7 @@ export function AddRemoteHostDialog({
           </DialogDescription>
         </DialogHeader>
 
-        {mode === 'server' ? (
+        {renderMode === 'server' ? (
           <RemoteServerFields
             name={serverName}
             pairingCode={pairingCode}
@@ -258,7 +265,7 @@ export function AddRemoteHostDialog({
         )}
 
         <DialogFooter className="sm:justify-between">
-          {mode === 'ssh' ? (
+          {renderMode === 'ssh' ? (
             <button
               type="button"
               className="self-center text-left text-xs text-muted-foreground underline-offset-2 hover:text-foreground hover:underline disabled:cursor-not-allowed disabled:opacity-50"
@@ -286,7 +293,9 @@ export function AddRemoteHostDialog({
             </Button>
             <Button
               type="button"
-              onClick={mode === 'server' ? () => void saveRemoteServer() : () => void saveSshHost()}
+              onClick={
+                renderMode === 'server' ? () => void saveRemoteServer() : () => void saveSshHost()
+              }
               disabled={isSaving || isImporting}
             >
               {isSaving
diff --git a/src/renderer/src/components/sidebar/AddRemoteHostFields.tsx b/src/renderer/src/components/sidebar/AddRemoteHostFields.tsx
index a77ccdb2348..370e847ebee 100644
--- a/src/renderer/src/components/sidebar/AddRemoteHostFields.tsx
+++ b/src/renderer/src/components/sidebar/AddRemoteHostFields.tsx
@@ -1,7 +1,9 @@
+import { useState } from 'react'
 import { Input } from '@/components/ui/input'
 import { Label } from '@/components/ui/label'
 import { translate } from '@/i18n/i18n'
 import { applyParsedSshHostInput, type EditingTarget } from '../settings/ssh-target-draft'
+import { SshHostAdvancedFields } from '../settings/SshHostAdvancedFields'
 
 export function SshHostFields({
   form,
@@ -14,6 +16,7 @@ export function SshHostFields({
   onFormChange: (updater: (prev: EditingTarget) => EditingTarget) => void
   onSubmit: () => void
 }) {
+  const [advancedOpen, setAdvancedOpen] = useState(false)
   return (
     <form
       className="grid gap-3 sm:grid-cols-2"
@@ -103,12 +106,13 @@ export function SshHostFields({
           )}
         />
       </div>
-      <p className="text-xs text-muted-foreground sm:col-span-2">
-        {translate(
-          'auto.components.sidebar.AddRemoteHostDialog.sshPersistenceDefault',
-          'Remote terminals on this host stay alive until you end them or reset the relay.'
-        )}
-      </p>
+      <SshHostAdvancedFields
+        open={advancedOpen}
+        onOpenChange={setAdvancedOpen}
+        form={form}
+        disabled={disabled}
+        onFormChange={onFormChange}
+      />
     </form>
   )
 }
diff --git a/src/renderer/src/components/sparse/SparseCheckoutPresetDraftForm.tsx b/src/renderer/src/components/sparse/SparseCheckoutPresetDraftForm.tsx
index 8920b14cbb2..b257f7cf923 100644
--- a/src/renderer/src/components/sparse/SparseCheckoutPresetDraftForm.tsx
+++ b/src/renderer/src/components/sparse/SparseCheckoutPresetDraftForm.tsx
@@ -1,5 +1,6 @@
 import { LoaderCircle } from 'lucide-react'
 import { Button } from '@/components/ui/button'
+import { Input } from '@/components/ui/input'
 import { translate } from '@/i18n/i18n'
 import type { SparsePresetDirectoryParseResult } from '@/lib/sparse-preset-draft'
 
@@ -34,7 +35,10 @@ export function SparseCheckoutPresetDraftForm({
   onSave
 }: SparseCheckoutPresetDraftFormProps): React.JSX.Element {
   return (
+    // Why: bg-popover matches the opaque surface the cmdk list (Command root) paints, so the draft
+    // form doesn't show the translucent PopoverContent through it while the list looks solid.
     <form
+      className="rounded-md bg-popover text-popover-foreground"
       onSubmit={(event) => {
         event.preventDefault()
         onSave()
@@ -56,22 +60,20 @@ export function SparseCheckoutPresetDraftForm({
           >
             {translate('auto.components.sparse.SparseCheckoutPresetSelect.b3a500c623', 'Name')}
           </label>
-          <div className="rounded-md border border-border/70 bg-muted/20 px-2.5 shadow-xs transition focus-within:border-ring/70 focus-within:ring-1 focus-within:ring-ring/30">
-            <input
-              id="sparse-preset-name"
-              ref={setNameInputNode}
-              value={draft.name}
-              onChange={(event) => onDraftChange({ ...draft, name: event.target.value })}
-              placeholder={translate(
-                'auto.components.sparse.SparseCheckoutPresetSelect.064c1e2d12',
-                'Renderer UI'
-              )}
-              maxLength={80}
-              autoComplete="off"
-              spellCheck={false}
-              className="h-8 w-full bg-transparent text-xs text-foreground outline-none selection:bg-primary selection:text-primary-foreground placeholder:text-muted-foreground"
-            />
-          </div>
+          <Input
+            id="sparse-preset-name"
+            ref={setNameInputNode}
+            value={draft.name}
+            onChange={(event) => onDraftChange({ ...draft, name: event.target.value })}
+            placeholder={translate(
+              'auto.components.sparse.SparseCheckoutPresetSelect.064c1e2d12',
+              'Renderer UI'
+            )}
+            maxLength={80}
+            autoComplete="off"
+            spellCheck={false}
+            className="h-8 text-xs"
+          />
         </div>
         <div className="space-y-1">
           <label
@@ -83,20 +85,20 @@ export function SparseCheckoutPresetDraftForm({
               'Directories'
             )}
           </label>
-          <div className="rounded-md border border-border/70 bg-muted/20 px-2.5 py-1.5 shadow-xs transition focus-within:border-ring/70 focus-within:ring-1 focus-within:ring-ring/30">
-            <textarea
-              id="sparse-preset-directories"
-              value={draft.directoriesText}
-              onChange={(event) => onDraftChange({ ...draft, directoriesText: event.target.value })}
-              placeholder={translate(
-                'auto.components.sparse.SparseCheckoutPresetSelect.ddbcaef7be',
-                'src/renderer packages/ui'
-              )}
-              rows={3}
-              spellCheck={false}
-              className="max-h-28 w-full min-w-0 resize-none bg-transparent font-mono text-xs leading-5 text-foreground outline-none selection:bg-primary selection:text-primary-foreground placeholder:text-muted-foreground"
-            />
-          </div>
+          {/* Why: match the app's canonical textarea (composer Note field) — border-input +
+              standard focus ring — instead of a one-off wrapper. font-mono since these are paths. */}
+          <textarea
+            id="sparse-preset-directories"
+            value={draft.directoriesText}
+            onChange={(event) => onDraftChange({ ...draft, directoriesText: event.target.value })}
+            placeholder={translate(
+              'auto.components.sparse.SparseCheckoutPresetSelect.ddbcaef7be',
+              'src/renderer packages/ui'
+            )}
+            rows={3}
+            spellCheck={false}
+            className="max-h-28 w-full min-w-0 resize-none rounded-md border border-input bg-transparent px-3 py-1.5 font-mono text-xs leading-5 shadow-xs transition-[color,box-shadow] outline-none selection:bg-primary selection:text-primary-foreground placeholder:text-muted-foreground focus-visible:border-ring focus-visible:ring-[3px] focus-visible:ring-ring/50"
+          />
         </div>
       </div>
       <div className="flex min-h-11 items-center justify-between gap-3 border-t border-border px-3 py-2">
diff --git a/src/renderer/src/components/sparse/SparseCheckoutPresetSelect.tsx b/src/renderer/src/components/sparse/SparseCheckoutPresetSelect.tsx
index 008526f4e2c..8ff4f7bfed8 100644
--- a/src/renderer/src/components/sparse/SparseCheckoutPresetSelect.tsx
+++ b/src/renderer/src/components/sparse/SparseCheckoutPresetSelect.tsx
@@ -1,6 +1,7 @@
 import React, { useCallback, useMemo, useRef, useState } from 'react'
 import { Check, ChevronsUpDown, LoaderCircle, Pencil, Plus, RefreshCcw } from 'lucide-react'
 import { Button } from '@/components/ui/button'
+import { Command, CommandItem, CommandList, CommandSeparator } from '@/components/ui/command'
 import { Popover, PopoverContent, PopoverTrigger } from '@/components/ui/popover'
 import { useAppStore } from '@/store'
 import { cn } from '@/lib/utils'
@@ -225,7 +226,7 @@ export default function SparseCheckoutPresetSelect({
           aria-expanded={open}
           aria-busy={isLoadingPresets}
           disabled={disabled || isLoadingPresets}
-          className="h-9 w-full justify-between px-3 text-sm font-normal text-foreground"
+          className="h-9 w-full justify-between border-input px-3 text-sm font-normal text-foreground focus:border-ring focus:ring-[3px] focus:ring-ring/50"
         >
           <span className="truncate">{triggerLabel}</span>
           {isLoadingPresets ? (
@@ -281,39 +282,37 @@ export default function SparseCheckoutPresetSelect({
             </button>
           </div>
         ) : (
-          <div>
-            <div className="py-1">
-              <button
-                type="button"
-                className="mx-1 flex h-9 w-[calc(100%-0.5rem)] items-center gap-2 rounded-md px-2 text-left text-xs hover:bg-accent hover:text-accent-foreground"
-                onClick={handleSelectOff}
+          // Why: cmdk Command/CommandItem so this dropdown matches the other composer pickers
+          // (run-target, project, agent) — same padding, keyboard-highlight, and check placement.
+          <Command value={selectedPreset ? `preset:${selectedPreset.id}` : 'off'}>
+            <CommandList>
+              <CommandItem
+                value="off"
+                onSelect={handleSelectOff}
+                className="items-center gap-2 px-3 py-2"
               >
                 <Check className={cn('size-4', selectedPreset ? 'opacity-0' : 'opacity-100')} />
-                {translate('auto.components.sparse.SparseCheckoutPresetSelect.c7f9b3f0c1', 'Off')}
-              </button>
-            </div>
-            {visiblePresets.length > 0 ? (
-              <>
-                <div className="h-px bg-border" />
-                <div className="space-y-0.5 py-1">
+                <span className="truncate">
+                  {translate('auto.components.sparse.SparseCheckoutPresetSelect.c7f9b3f0c1', 'Off')}
+                </span>
+              </CommandItem>
+              {visiblePresets.length > 0 ? (
+                <>
+                  <CommandSeparator />
                   {visiblePresets.map((preset) => (
-                    <div
+                    <CommandItem
                       key={preset.id}
-                      className="mx-1 flex items-center rounded-md hover:bg-accent hover:text-accent-foreground"
+                      value={`preset:${preset.id}`}
+                      onSelect={() => handleSelectPreset(preset)}
+                      className="items-center gap-2 px-3 py-2"
                     >
-                      <button
-                        type="button"
-                        className="flex h-9 min-w-0 flex-1 items-center gap-2 rounded-l-md px-2 text-left text-xs"
-                        onClick={() => handleSelectPreset(preset)}
-                      >
-                        <Check
-                          className={cn(
-                            'size-4 shrink-0',
-                            selectedPreset?.id === preset.id ? 'opacity-100' : 'opacity-0'
-                          )}
-                        />
-                        <span className="truncate">{preset.name}</span>
-                      </button>
+                      <Check
+                        className={cn(
+                          'size-4 shrink-0',
+                          selectedPreset?.id === preset.id ? 'opacity-100' : 'opacity-0'
+                        )}
+                      />
+                      <span className="min-w-0 flex-1 truncate">{preset.name}</span>
                       <Button
                         type="button"
                         variant="ghost"
@@ -323,31 +322,41 @@ export default function SparseCheckoutPresetSelect({
                           'Edit {{value0}}',
                           { value0: preset.name }
                         )}
-                        className="mr-1 size-7 shrink-0 rounded-md text-muted-foreground hover:bg-background/35 hover:text-foreground"
-                        onClick={() => startEditPreset(preset)}
+                        className="ml-1 size-6 shrink-0 rounded-md text-muted-foreground hover:bg-background/35 hover:text-foreground"
+                        // Why: the pencil opens the edit draft; stop the event so cmdk doesn't
+                        // also select the preset row underneath it.
+                        onPointerDown={(event) => {
+                          event.preventDefault()
+                          event.stopPropagation()
+                        }}
+                        onClick={(event) => {
+                          event.preventDefault()
+                          event.stopPropagation()
+                          startEditPreset(preset)
+                        }}
                       >
                         <Pencil className="size-3.5" />
                       </Button>
-                    </div>
+                    </CommandItem>
                   ))}
-                </div>
-              </>
-            ) : null}
-            <div className="border-t border-border">
-              <Button
-                type="button"
-                variant="ghost"
-                onClick={startNewPreset}
-                className="mx-1 my-1 h-8 w-[calc(100%-0.5rem)] justify-start rounded-md px-2 text-xs font-normal"
+                </>
+              ) : null}
+              <CommandSeparator />
+              <CommandItem
+                value="new-preset"
+                onSelect={startNewPreset}
+                className="items-center gap-2 px-3 py-2 text-muted-foreground"
               >
-                <Plus className="size-3.5 text-muted-foreground" />
-                {translate(
-                  'auto.components.sparse.SparseCheckoutPresetSelect.c4ac80151d',
-                  'New preset'
-                )}
-              </Button>
-            </div>
-          </div>
+                <Plus className="size-4 shrink-0" />
+                <span className="truncate">
+                  {translate(
+                    'auto.components.sparse.SparseCheckoutPresetSelect.c4ac80151d',
+                    'New preset'
+                  )}
+                </span>
+              </CommandItem>
+            </CommandList>
+          </Command>
         )}
       </PopoverContent>
     </Popover>
diff --git a/src/renderer/src/hooks/useComposerState.ts b/src/renderer/src/hooks/useComposerState.ts
index d1316b98678..67237eae5cd 100644
--- a/src/renderer/src/hooks/useComposerState.ts
+++ b/src/renderer/src/hooks/useComposerState.ts
@@ -1256,15 +1256,18 @@ export function useComposerState(options: UseComposerStateOptions): UseComposerS
   const selectedRepoSettingsRef = useRef(selectedRepoSettings)
   selectedRepoSettingsRef.current = selectedRepoSettings
 
+  // Why: depend on the persisted policy *value*, not the selectedRepo object. Background repo
+  // refetches (git polling) hand back a new repo reference with the same hookSettings; keying on
+  // the object would re-run this and briefly flip the toggle back to the stale value — the glitch.
+  const persistedSetupAgentStartupPolicy = getRepoSetupAgentStartupPolicy(selectedRepo)
   useEffect(() => {
-    const nextPolicy = getRepoSetupAgentStartupPolicy(selectedRepo)
     const draft = setupAgentStartupPolicyDraftRef.current
-    if (draft?.repoId === repoId && draft.policy !== nextPolicy) {
+    if (draft?.repoId === repoId && draft.policy !== persistedSetupAgentStartupPolicy) {
       return
     }
-    setupAgentStartupPolicyRef.current = nextPolicy
-    setSetupAgentStartupPolicy(nextPolicy)
-  }, [repoId, selectedRepo])
+    setupAgentStartupPolicyRef.current = persistedSetupAgentStartupPolicy
+    setSetupAgentStartupPolicy(persistedSetupAgentStartupPolicy)
+  }, [repoId, persistedSetupAgentStartupPolicy])
 
   const persistSetupAgentStartupPolicy = useCallback(
     async (
@@ -1776,7 +1779,7 @@ export function useComposerState(options: UseComposerStateOptions): UseComposerS
       }
     }
 
-    void readRuntimeIssueCommand(selectedRepoSettings, repoId)
+    void readRuntimeIssueCommand(selectedRepoSettingsRef.current, repoId)
       .then((result) => {
         if (!cancelled) {
           setIssueCommandTemplate(result.effectiveContent ?? '')
@@ -1793,13 +1796,18 @@ export function useComposerState(options: UseComposerStateOptions): UseComposerS
     return () => {
       cancelled = true
     }
+    // Why: key on the stable runtime-env id, not the selectedRepoSettings object. `updateRepo`
+    // (e.g. saving the setup toggle from this very composer) replaces selectedRepo — and thus the
+    // memoized selectedRepoSettings — by reference; depending on the object would re-run this
+    // effect, blank yamlHooks to null, and make the whole setup section vanish for a frame.
+    // eslint-disable-next-line react-hooks/exhaustive-deps
   }, [
     commitHookCheckIfCurrent,
     enableIssueAutomation,
     loadHookCheckForRepo,
     repoId,
     selectedRepoIsGit,
-    selectedRepoSettings
+    runtimeEnvironmentId
   ])
 
   const onConnectSelectedRepo = useCallback(async (): Promise<void> => {
diff --git a/src/renderer/src/lib/project-host-setup-options.test.ts b/src/renderer/src/lib/project-host-setup-options.test.ts
index 2bd8d395300..8785d7b35e5 100644
--- a/src/renderer/src/lib/project-host-setup-options.test.ts
+++ b/src/renderer/src/lib/project-host-setup-options.test.ts
@@ -243,6 +243,21 @@ describe('buildProjectHostSetupOptions', () => {
     }
   )
 
+  it.each([
+    ['connecting' as const, false],
+    ['disconnected' as const, false],
+    ['error' as const, true]
+  ])('flags only errored %s hosts for attention', (health: ExecutionHostHealth, attention) => {
+    const options = buildProjectHostSetupOptions({
+      projectId: 'project-1',
+      eligibleRepos: [repo('local-repo')],
+      hosts: [host('local'), host('ssh:builder', { label: 'Builder', health })],
+      projectHostSetups: [setup('local', 'project-1', 'local', 'local-repo')]
+    })
+
+    expect(options.at(-1)).toMatchObject({ kind: 'needs-setup', attention })
+  })
+
   it.each([
     ['ssh:builder' as const, { kind: 'ssh', targetId: 'builder' }],
     ['runtime:gpu' as const, { kind: 'runtime', environmentId: 'gpu' }]
diff --git a/src/renderer/src/lib/project-host-setup-options.ts b/src/renderer/src/lib/project-host-setup-options.ts
index ba5512c2f5b..6a7999902a8 100644
--- a/src/renderer/src/lib/project-host-setup-options.ts
+++ b/src/renderer/src/lib/project-host-setup-options.ts
@@ -32,6 +32,9 @@ export type ProjectHostSetupOption =
       label: string
       detail: string
       isAvailable: boolean
+      // Why: only a genuine connection error warrants an alarm glyph; a dormant
+      // disconnected host is merely not-yet-connected, not broken.
+      attention: boolean
       connectAction?: { kind: 'ssh'; targetId: string } | { kind: 'runtime'; environmentId: string }
     }
 
@@ -164,6 +167,7 @@ function buildNeedsSetupOptions({
             : 'Project not set up on this host'
           : availability.detail,
         isAvailable: availability.isAvailable,
+        attention: host.health === 'error',
         ...(connectAction ? { connectAction } : {})
       }
     })