diff --git a/.coverage-threshold b/.coverage-threshold
new file mode 100644
index 00000000..844aa571
--- /dev/null
+++ b/.coverage-threshold
@@ -0,0 +1 @@
+64.2
diff --git a/.github/workflows/unit-test-and-coverage-gate.yml b/.github/workflows/unit-test-and-coverage-gate.yml
index efee3198..9e09247c 100644
--- a/.github/workflows/unit-test-and-coverage-gate.yml
+++ b/.github/workflows/unit-test-and-coverage-gate.yml
@@ -1,227 +1,200 @@
-name: Unit and Coverage 
+name: Unit Tests and Coverage
 
 on:
   pull_request:
-    branches: [ main ]          # Gate PRs into main
+    branches: [main]
   push:
-    branches: [ main ]          # also run on direct pushes
-  workflow_dispatch:             # Manual runs
+    branches: [main]  # Only on main to avoid duplicate runs with pull_request
+  workflow_dispatch:
     inputs:
       ref:
-        description: "Branch or SHA to test (e.g. feature/x or a1b2c3)"
+        description: "Branch or SHA to test"
         required: false
       cov_threshold:
-        description: "Override threshold (percent) for this manual run only"
+        description: "Override coverage threshold (%)"
         required: false
 
 concurrency:
-  group: earthly-tests-${{ github.ref }}
+  group: unit-tests-${{ github.ref }}
   cancel-in-progress: true
 
 permissions:
-  contents: read
+  contents: write  # Needed to push threshold updates
 
 jobs:
-  run-earthly-tests:
-    name: Run earthly +test (coverage gate)
+  test:
+    name: Unit Tests & Coverage Gate
     runs-on: ubuntu-latest
     timeout-minutes: 30
 
     steps:
-      - name: Checkout repository
+      - name: Checkout
         uses: actions/checkout@v4
         with:
           fetch-depth: 0
           persist-credentials: false
-          # Use input ref if provided; else PR head SHA; else current SHA
-          ref: ${{ inputs.ref != '' && inputs.ref || (github.event_name == 'pull_request' && github.event.pull_request.head.sha || github.sha) }}
+          ref: ${{ inputs.ref || github.event.pull_request.head.sha || github.sha }}
 
       - name: Setup Earthly
         uses: earthly/actions/setup-earthly@v1
         with:
           version: "latest"
 
-      - name: Show Earthly version
-        run: earthly --version
-
-      - name: Resolve coverage threshold
-        id: threshold
+      - name: Configure test parameters
+        id: config
         env:
-          MANUAL_COV: ${{ inputs.cov_threshold }}
+          INPUT_COV_THRESHOLD: ${{ inputs.cov_threshold }}
         run: |
-          set -euo pipefail
-          
-          # Default threshold (matches script default)
-          DEFAULT="12.3"
-          
-          # Use manual override if provided, otherwise use default
-          if [[ -n "${MANUAL_COV:-}" ]]; then
-            HEAD_VAL="${MANUAL_COV}"
-            echo "Using manual threshold override: ${HEAD_VAL}%"
+          # Read threshold from file, allow manual override
+          FILE_THRESHOLD=$(cat .coverage-threshold 2>/dev/null || echo "65.0")
+          COV_THRESHOLD="${INPUT_COV_THRESHOLD:-$FILE_THRESHOLD}"
+          echo "cov_threshold=${COV_THRESHOLD}" >> "$GITHUB_OUTPUT"
+          echo "build_id=${GITHUB_RUN_ID}" >> "$GITHUB_OUTPUT"
+          if [[ -n "${INPUT_COV_THRESHOLD}" ]]; then
+            echo "::notice::Coverage threshold: ${COV_THRESHOLD}% (from manual override)"
           else
-            HEAD_VAL="$DEFAULT"
-            echo "Using default threshold: ${HEAD_VAL}%"
+            echo "::notice::Coverage threshold: ${COV_THRESHOLD}% (from .coverage-threshold file)"
           fi
 
-          # Set environment variables for subsequent steps
-          echo "COV_THRESHOLD=${HEAD_VAL}" >> "$GITHUB_ENV"
-          echo "PRINT_TS=${GITHUB_RUN_ID}" >> "$GITHUB_ENV"
-          echo "FAIL_ON_NO_TESTS=false" >> "$GITHUB_ENV"
-
-          echo "Resolved threshold: ${HEAD_VAL}%"
-          echo "Build ID: ${GITHUB_RUN_ID}"
-
-      # Run standard tests with coverage
-      - name: Run Earthly +test with coverage threshold
+      - name: Run tests with coverage
+        id: test
+        env:
+          COV_THRESHOLD: ${{ steps.config.outputs.cov_threshold }}
+          BUILD_ID: ${{ steps.config.outputs.build_id }}
         run: |
-          earthly +test --COV_THRESHOLD="${COV_THRESHOLD}" --PRINT_TS="${PRINT_TS}" --FAIL_ON_NO_TESTS="${FAIL_ON_NO_TESTS}"
+          earthly +test \
+            --COV_THRESHOLD="${COV_THRESHOLD}" \
+            --PRINT_TS="${BUILD_ID}" \
+            --FAIL_ON_NO_TESTS="false"
 
-      # Upload main coverage artifacts (always generated by script)
-      - name: Upload main coverage artifacts
+      - name: Upload coverage artifacts
         if: always()
         uses: actions/upload-artifact@v4
         with:
-          name: coverage-reports
+          name: coverage-${{ github.run_id }}
           path: |
             coverage.out
-            coverage_total.txt
-            coverage_packages.txt
-            test_raw.log
-
-      # Upload detailed per-directory artifacts for debugging
-      - name: Upload per-directory coverage artifacts
-        if: always()
-        uses: actions/upload-artifact@v4
-        with:
-          name: per-directory-coverage
-          path: |
-            *_coverage.out
-            *_test.log
-            overall_coverage.out
-            combined_coverage.out
-            overall_test.log
-            overall_test_with_failures.log
-          if-no-files-found: ignore
-
-      # Legacy individual uploads for backward compatibility
-      - name: Upload coverage.out (legacy)
-        if: always()
-        uses: actions/upload-artifact@v4
-        with:
-          name: coverage.out
-          path: coverage.out
-          if-no-files-found: warn
-
-      - name: Upload coverage_total.txt (legacy)
-        if: always()
-        uses: actions/upload-artifact@v4
-        with:
-          name: coverage_total.txt
-          path: coverage_total.txt
-          if-no-files-found: warn
+            coverage_report.txt
+          retention-days: 30
 
-      - name: Upload coverage_packages.txt (legacy)
-        if: always()
-        uses: actions/upload-artifact@v4
-        with:
-          name: coverage_packages.txt
-          path: coverage_packages.txt
-          if-no-files-found: warn
-
-      - name: Upload test_raw.log (legacy)
-        if: always()
-        uses: actions/upload-artifact@v4
-        with:
-          name: test_raw.log
-          path: test_raw.log
-          if-no-files-found: warn
-
-      - name: Publish coverage summary
+      - name: Generate coverage summary
         if: always()
         run: |
           {
-            echo "## Coverage Summary"
-            if [[ -f coverage_total.txt ]]; then
-              echo ""
-              echo '```'
-              cat coverage_total.txt
-              echo '```'
-            fi
-            if [[ -f coverage_packages.txt ]]; then
-              echo ""
-              echo "Packages by coverage (lowest first):"
-              echo '```'
-              head -n 50 coverage_packages.txt || true
-              echo '```'
-            fi
+            echo "## 📊 Test Coverage Report"
             echo ""
-            echo "**Threshold used:** ${COV_THRESHOLD}%"
-            echo "**Build ID:** ${PRINT_TS}"
-            echo "**Test method:** Per-directory coverage with script-based execution"
             
-            # Add directory-level summary if available
-            if [[ -f coverage_total.txt ]] && grep -q "| Directory" coverage_total.txt; then
+            # Extract overall coverage
+            if [[ -f coverage_report.txt ]]; then
+              # Extract numeric values using simpler patterns
+              OVERALL=$(grep "Overall Coverage:" coverage_report.txt | sed 's/[^0-9.]*\([0-9.]\+\)%.*/\1/')%
+              THRESHOLD=$(grep "Threshold:" coverage_report.txt | sed 's/[^0-9.]*\([0-9.]\+\)%.*/\1/')%
+              STATUS=$(grep "Status:" coverage_report.txt | sed 's/[^A-Z]*\([A-Z]\+\).*/\1/')
+              
+              # Status badge
+              if [[ "$STATUS" == "PASSED" ]]; then
+                echo "| Metric | Value | Status |"
+                echo "|--------|-------|--------|"
+                echo "| **Overall Coverage** | $OVERALL | ✅ PASSED |"
+                echo "| **Threshold** | $THRESHOLD | - |"
+                echo "| **Build** | #${{ github.run_id }} | - |"
+              else
+                echo "| Metric | Value | Status |"
+                echo "|--------|-------|--------|"
+                echo "| **Overall Coverage** | $OVERALL | ❌ FAILED |"
+                echo "| **Threshold** | $THRESHOLD | - |"
+                echo "| **Build** | #${{ github.run_id }} | - |"
+              fi
               echo ""
-              echo "### Directory Test Results"
-              echo '```'
-              grep -A 100 "| Directory" coverage_total.txt | head -n 50 || true
-              echo '```'
+              
+              # Failed tests section
+              if grep -q "Failed Tests:" coverage_report.txt; then
+                echo "### ❌ Failed Tests"
+                echo ""
+                sed -n '/\*\*Failed Tests:\*\*/,/^\*\*Note/p' coverage_report.txt | grep "•" | head -20
+                echo ""
+              fi
+              
+              # Directory results table
+              if grep -q "| Directory" coverage_report.txt; then
+                echo "### 📁 Directory Results"
+                echo ""
+                sed -n '/| Directory/,/^$/p' coverage_report.txt | head -50
+                echo ""
+              fi
+            else
+              echo "⚠️ Coverage report not generated"
+              echo ""
+              echo "Check the workflow logs for details."
             fi
           } >> "$GITHUB_STEP_SUMMARY"
 
-  # Debug job for troubleshooting (runs on manual trigger with failures)
-  run-earthly-tests-debug:
-    name: Run earthly +test-debug (enhanced debugging)
-    runs-on: ubuntu-latest
-    timeout-minutes: 45
-    if: failure() && github.event_name == 'workflow_dispatch'
-    needs: run-earthly-tests
-
-    steps:
-      - name: Checkout repository
-        uses: actions/checkout@v4
-        with:
-          fetch-depth: 0
-          persist-credentials: false
-          ref: ${{ inputs.ref != '' && inputs.ref || (github.event_name == 'pull_request' && github.event.pull_request.head.sha || github.sha) }}
-
-      - name: Setup Earthly
-        uses: earthly/actions/setup-earthly@v1
-        with:
-          version: "latest"
-
-      - name: Run Earthly +test-debug with enhanced output
+      - name: Auto-update coverage threshold (ratchet)
+        if: success() && github.ref != 'refs/heads/main'
         env:
-          COV_THRESHOLD: ${{ inputs.cov_threshold || '12.3' }}
-          PRINT_TS: ${{ github.run_id }}
-          FAIL_ON_NO_TESTS: "false"
-        run: |
-          earthly +test-debug --COV_THRESHOLD="${COV_THRESHOLD}" --PRINT_TS="${PRINT_TS}" --FAIL_ON_NO_TESTS="${FAIL_ON_NO_TESTS}"
-
-      - name: Upload all debug artifacts
-        if: always()
-        uses: actions/upload-artifact@v4
-        with:
-          name: debug-coverage-artifacts
-          path: |
-            coverage.out
-            coverage_total.txt
-            coverage_packages.txt
-            test_raw.log
-            *_coverage.out
-            *_test.log
-            overall_coverage.out
-            combined_coverage.out
-            overall_test.log
-            overall_test_with_failures.log
-          if-no-files-found: ignore
-
-      - name: Show debug summary
-        if: always()
+          GH_TOKEN: ${{ secrets.GITHUB_TOKEN }}
+          EVENT_NAME: ${{ github.event_name }}
+          HEAD_REF: ${{ github.head_ref }}
+          REF_NAME: ${{ github.ref_name }}
         run: |
-          echo "=== Debug Coverage Analysis ==="
-          echo "Files generated:"
-          ls -la *.out *.txt *.log || true
-          echo ""
-          echo "Directory structure:"
-          find . -name "*coverage*" -o -name "*test*.log" | head -20 || true
+          set -x  # Debug: show commands
+          
+          # Determine branch name based on event type
+          if [[ "${EVENT_NAME}" == "pull_request" ]]; then
+            BRANCH="${HEAD_REF}"
+          else
+            # For workflow_dispatch or other events, use ref_name
+            BRANCH="${REF_NAME}"
+          fi
+          
+          echo "Target branch: ${BRANCH}"
+          
+          # Skip if on main branch (shouldn't happen due to condition, but safety check)
+          if [[ "$BRANCH" == "main" ]]; then
+            echo "Skipping ratchet on main branch"
+            exit 0
+          fi
+          
+          # Get current coverage from report using simpler pattern
+          CURRENT=$(grep "Overall Coverage:" coverage_report.txt | sed 's/[^0-9.]*\([0-9.]\+\)%.*/\1/')
+          OLD_THRESHOLD=$(cat .coverage-threshold 2>/dev/null || echo "0")
+          
+          # Validate CURRENT is a valid number before proceeding
+          if [[ -z "$CURRENT" ]] || ! [[ "$CURRENT" =~ ^[0-9]+\.?[0-9]*$ ]]; then
+            echo "::error::Failed to parse coverage value from report (got: '$CURRENT')"
+            exit 1
+          fi
+          
+          echo "Current coverage: ${CURRENT}%"
+          echo "Current threshold: ${OLD_THRESHOLD}%"
+          
+          # Calculate new threshold (0.5% buffer below actual coverage)
+          # Use printf to ensure consistent one-decimal-place formatting
+          NEW_THRESHOLD=$(printf '%.1f' "$(echo "$CURRENT - 0.5" | bc -l)")
+          
+          echo "Proposed new threshold: ${NEW_THRESHOLD}%"
+          
+          # Only update if new threshold is higher than old threshold
+          if (( $(echo "$NEW_THRESHOLD > $OLD_THRESHOLD" | bc -l) )); then
+            echo "Updating threshold: ${OLD_THRESHOLD}% -> ${NEW_THRESHOLD}%"
+            echo "${NEW_THRESHOLD}" > .coverage-threshold
+            
+            # Configure git
+            git config user.name "github-actions[bot]"
+            git config user.email "github-actions[bot]@users.noreply.github.com"
+            
+            # Fetch and checkout the branch
+            git fetch origin "${BRANCH}"
+            git checkout "${BRANCH}"
+            # Ensure branch is up to date in case it changed after the workflow started
+            git pull --rebase origin "${BRANCH}"
+            
+            # Stage and commit
+            git add .coverage-threshold
+            git commit -m "chore: auto-update coverage threshold to ${NEW_THRESHOLD}% (was ${OLD_THRESHOLD}%)"
+            git push origin "${BRANCH}"
+            
+            echo "::notice::Coverage threshold updated to ${NEW_THRESHOLD}% on branch ${BRANCH}"
+          else
+            echo "New threshold (${NEW_THRESHOLD}%) is not higher than current (${OLD_THRESHOLD}%), no update needed"
+          fi
diff --git a/Earthfile b/Earthfile
index ef0a1a90..6412ea5e 100644
--- a/Earthfile
+++ b/Earthfile
@@ -141,6 +141,7 @@ lint:
 
 test:
     FROM +golang-base
+    ARG COV_THRESHOLD=""
     ARG PRINT_TS=""
     ARG FAIL_ON_NO_TESTS=false
     
@@ -151,16 +152,19 @@ test:
     RUN chmod +x /work/scripts/run_coverage_tests.sh
     
     # Run the comprehensive coverage tests using our script
-    RUN cd /work && ./scripts/run_coverage_tests.sh "${PRINT_TS}" "${FAIL_ON_NO_TESTS}"
+    # Args: COV_THRESHOLD PRINT_TS FAIL_ON_NO_TESTS DEBUG
+    # If COV_THRESHOLD not provided, read from .coverage-threshold file
+    RUN cd /work && \
+        THRESHOLD="${COV_THRESHOLD:-$(cat .coverage-threshold 2>/dev/null || echo 65.0)}" && \
+        ./scripts/run_coverage_tests.sh "${THRESHOLD}" "${PRINT_TS}" "${FAIL_ON_NO_TESTS}"
     
-    # Save all generated artifacts locally
+    # Save coverage artifacts locally
     SAVE ARTIFACT coverage.out AS LOCAL ./coverage.out
-    SAVE ARTIFACT coverage_total.txt AS LOCAL ./coverage_total.txt
-    SAVE ARTIFACT coverage_packages.txt AS LOCAL ./coverage_packages.txt
-    SAVE ARTIFACT test_raw.log AS LOCAL ./test_raw.log
+    SAVE ARTIFACT coverage_report.txt AS LOCAL ./coverage_report.txt
 
 test-debug:
     FROM +golang-base
+    ARG COV_THRESHOLD=""
     ARG PRINT_TS=""
     ARG FAIL_ON_NO_TESTS=false
     
@@ -170,14 +174,16 @@ test-debug:
     # Make the coverage script executable
     RUN chmod +x /work/scripts/run_coverage_tests.sh
     
-    # Run the coverage tests with debug output
-    RUN cd /work && ./scripts/run_coverage_tests.sh "${PRINT_TS}" "${FAIL_ON_NO_TESTS}" "true"
+    # Run the coverage tests with debug output (keeps temp files for inspection)
+    # Args: COV_THRESHOLD PRINT_TS FAIL_ON_NO_TESTS DEBUG
+    # If COV_THRESHOLD not provided, read from .coverage-threshold file
+    RUN cd /work && \
+        THRESHOLD="${COV_THRESHOLD:-$(cat .coverage-threshold 2>/dev/null || echo 65.0)}" && \
+        ./scripts/run_coverage_tests.sh "${THRESHOLD}" "${PRINT_TS}" "${FAIL_ON_NO_TESTS}" "true"
     
-    # Save all generated artifacts locally
+    # Save coverage artifacts locally
     SAVE ARTIFACT coverage.out AS LOCAL ./coverage.out
-    SAVE ARTIFACT coverage_total.txt AS LOCAL ./coverage_total.txt
-    SAVE ARTIFACT coverage_packages.txt AS LOCAL ./coverage_packages.txt
-    SAVE ARTIFACT test_raw.log AS LOCAL ./test_raw.log
+    SAVE ARTIFACT coverage_report.txt AS LOCAL ./coverage_report.txt
 
 test-quick:
     FROM +golang-base
diff --git a/scripts/run_coverage_tests.sh b/scripts/run_coverage_tests.sh
index a8dcfe50..e3180a35 100755
--- a/scripts/run_coverage_tests.sh
+++ b/scripts/run_coverage_tests.sh
@@ -2,21 +2,44 @@
 set -euo pipefail
 
 # Script to run Go tests with per-directory coverage reporting
-# Usage: ./run_coverage_tests.sh [COVERAGE_THRESHOLD] [PRINT_TS] [FAIL_ON_NO_TESTS] [DEBUG]
+# Usage: ./run_coverage_tests.sh [COV_THRESHOLD] [PRINT_TS] [FAIL_ON_NO_TESTS] [DEBUG]
+#
+# Arguments:
+#   COV_THRESHOLD    - Minimum coverage percentage required (default: 64.2)
+#   PRINT_TS         - Build ID/timestamp for reports (default: empty)
+#   FAIL_ON_NO_TESTS - Fail if directories have no tests (default: false)
+#   DEBUG            - Keep temp files for debugging (default: false)
 #
 # Behavior:
 # - Runs all tests in all directories, even if some fail (for complete visibility)
 # - Tracks all test failures and reports them at the end
 # - Exits with code 1 if ANY tests fail OR overall coverage is below threshold
 # - Generates coverage reports for all directories where tests ran successfully
-
-COV_THRESHOLD=64.2
-PRINT_TS=${1:-""}
-FAIL_ON_NO_TESTS=${2:-false}  # Set to true if directories without tests should fail the build
-DEBUG=${3:-false}  # Set to true for verbose debugging
+#
+# Output files (in current directory):
+# - coverage.out: Combined coverage profile for use with go tool cover
+# - coverage_report.txt: Human-readable coverage summary
+
+COV_THRESHOLD=${1:-64.2}
+PRINT_TS=${2:-""}
+FAIL_ON_NO_TESTS=${3:-false}  # Set to true if directories without tests should fail the build
+DEBUG=${4:-false}  # Set to true for verbose debugging
 OVERALL_EXIT_CODE=0
 FAILED_DIRS=""
 
+# Create temporary directory for intermediate files
+WORK_DIR=$(mktemp -d -t coverage-XXXXXX)
+
+# Cleanup function to remove temporary files on exit
+cleanup() {
+    if [[ "$DEBUG" != "true" ]]; then
+        rm -rf "$WORK_DIR"
+    else
+        echo "DEBUG: Keeping work directory: $WORK_DIR" >&2
+    fi
+}
+trap cleanup EXIT
+
 # Colors for output
 RED='\033[0;31m'
 GREEN='\033[0;32m'
@@ -131,8 +154,8 @@ declare -a FAILED_TEST_DETAILS=()  # Initialize empty array
 # Run tests for each directory with Go files
 for GO_DIR in ${ALL_GO_DIRS}; do
     DIR_NAME=$(echo ${GO_DIR} | sed 's|^\./||')
-    COVERAGE_FILE="${DIR_NAME//\//_}_coverage.out"
-    TEST_LOG="${DIR_NAME//\//_}_test.log"
+    COVERAGE_FILE="${WORK_DIR}/${DIR_NAME//\//_}_coverage.out"
+    TEST_LOG="${WORK_DIR}/${DIR_NAME//\//_}_test.log"
 
     if [[ "$DEBUG" == "true" ]]; then
         echo "DEBUG: Processing directory: ${GO_DIR}" >&2
@@ -141,15 +164,6 @@ for GO_DIR in ${ALL_GO_DIRS}; do
         echo "DEBUG: TEST_LOG: ${TEST_LOG}" >&2
     fi
 
-    # Create directory structure for coverage file; fail with error if creation fails
-    if ! mkdir -p "$(dirname "${COVERAGE_FILE}")" 2>/dev/null; then
-        echo -e "${RED}ERROR: Failed to create directory for coverage file: $(dirname "${COVERAGE_FILE}")${NC}" >&2
-        exit 1
-    fi
-    if ! mkdir -p "$(dirname "${TEST_LOG}")" 2>/dev/null; then
-        echo -e "${RED}ERROR: Failed to create directory for test log: $(dirname "${TEST_LOG}")${NC}" >&2
-        exit 1
-    fi
     # Check if this directory has test files
     if echo "${TEST_DIRS}" | grep -q "^${GO_DIR}$"; then
         # Directory has tests - run them
@@ -295,13 +309,13 @@ echo ""
 echo -e "${BLUE}=== Generating Overall Coverage Report ===${NC}"
 
 # Calculate overall coverage by running tests on all packages at once
-OVERALL_COVERAGE_FILE="overall_coverage.out"
+OVERALL_COVERAGE_FILE="${WORK_DIR}/overall_coverage.out"
 
 echo "Calculating overall repository coverage..."
 
 # Method 1: Try to get overall coverage even if some tests fail
 echo "Attempting overall coverage calculation (Method 1)..."
-if $GO_BIN test -coverprofile="${OVERALL_COVERAGE_FILE}" ./... > overall_test.log 2>&1; then
+if $GO_BIN test -coverprofile="${OVERALL_COVERAGE_FILE}" ./... > "${WORK_DIR}/overall_test.log" 2>&1; then
     # All tests passed
     if [[ -f "${OVERALL_COVERAGE_FILE}" ]] && [[ -s "${OVERALL_COVERAGE_FILE}" ]]; then
         OVERALL_COVERAGE=$($GO_BIN tool cover -func="${OVERALL_COVERAGE_FILE}" | grep "total:" | awk '{print $3}' | sed 's/%//')
@@ -326,7 +340,7 @@ else
     echo "Some tests failed, attempting coverage with failures ignored..."
 
     # Method 1b: Try to get coverage despite test failures by continuing on failure
-    if $GO_BIN test -coverprofile="${OVERALL_COVERAGE_FILE}" -failfast=false ./... > overall_test_with_failures.log 2>&1 || true; then
+    if $GO_BIN test -coverprofile="${OVERALL_COVERAGE_FILE}" -failfast=false ./... > "${WORK_DIR}/overall_test_with_failures.log" 2>&1 || true; then
         if [[ -f "${OVERALL_COVERAGE_FILE}" ]] && [[ -s "${OVERALL_COVERAGE_FILE}" ]]; then
             OVERALL_COVERAGE=$($GO_BIN tool cover -func="${OVERALL_COVERAGE_FILE}" | grep "total:" | awk '{print $3}' | sed 's/%//')
 
@@ -344,7 +358,7 @@ else
             COVERAGE_METHOD="fallback to combined files"
 
             # Method 2: Combine individual coverage files from successful tests
-            COMBINED_COVERAGE="combined_coverage.out"
+            COMBINED_COVERAGE="${WORK_DIR}/combined_coverage.out"
             echo "mode: set" > "${COMBINED_COVERAGE}"
 
             SUCCESSFUL_DIRS=0
@@ -353,7 +367,7 @@ else
 
             for TEST_DIR in ${TEST_DIRS}; do
                 DIR_NAME=$(echo ${TEST_DIR} | sed 's|^\./||')
-                COVERAGE_FILE="${DIR_NAME//\//_}_coverage.out"
+                COVERAGE_FILE="${WORK_DIR}/${DIR_NAME//\//_}_coverage.out"
 
                 if [[ -f "${COVERAGE_FILE}" ]] && [[ -s "${COVERAGE_FILE}" ]]; then
                     # Skip the mode line and append
@@ -414,7 +428,12 @@ fi
 echo "Coverage threshold: ${COV_THRESHOLD}%"
 echo "Calculation method: ${COVERAGE_METHOD}"
 
-if (( $(echo "${OVERALL_COVERAGE} >= ${COV_THRESHOLD}" | bc -l) )); then
+# Normalize both values to 1 decimal place to avoid precision issues
+# (e.g., 64.29 displays as 64.3 but fails >= 64.3)
+COVERAGE_NORMALIZED=$(printf '%.1f' "${OVERALL_COVERAGE}")
+THRESHOLD_NORMALIZED=$(printf '%.1f' "${COV_THRESHOLD}")
+
+if (( $(echo "${COVERAGE_NORMALIZED} >= ${THRESHOLD_NORMALIZED}" | bc -l) )); then
     echo -e "${GREEN}✓ Overall coverage PASSED threshold${NC}"
 else
     echo -e "${RED}✗ Overall coverage FAILED threshold${NC}"
@@ -422,34 +441,34 @@ else
 fi
 
 # Generate coverage reports for saving
-echo "## Test Coverage Report" > coverage_total.txt
-echo "" >> coverage_total.txt
-echo "**Overall Coverage:** ${OVERALL_COVERAGE}%" >> coverage_total.txt
-echo "**Threshold:** ${COV_THRESHOLD}% (applies to overall coverage only)" >> coverage_total.txt
-echo "**Status:** $(if [[ ${OVERALL_EXIT_CODE} -eq 0 ]]; then echo "PASSED"; else echo "FAILED"; fi)" >> coverage_total.txt
-echo "" >> coverage_total.txt
+echo "## Test Coverage Report" > coverage_report.txt
+echo "" >> coverage_report.txt
+echo "**Overall Coverage:** ${COVERAGE_NORMALIZED}%" >> coverage_report.txt
+echo "**Threshold:** ${THRESHOLD_NORMALIZED}% (applies to overall coverage only)" >> coverage_report.txt
+echo "**Status:** $(if [[ ${OVERALL_EXIT_CODE} -eq 0 ]]; then echo "PASSED"; else echo "FAILED"; fi)" >> coverage_report.txt
+echo "" >> coverage_report.txt
 
 # FIXED: Use safer array check that works with set -u
 if [[ "${#FAILED_TEST_DETAILS[@]}" -gt 0 ]] 2>/dev/null; then
-    echo "**Failed Tests:**" >> coverage_total.txt
+    echo "**Failed Tests:**" >> coverage_report.txt
     for detail in "${FAILED_TEST_DETAILS[@]}"; do
-        echo "  • ${detail}" >> coverage_total.txt
+        echo "  • ${detail}" >> coverage_report.txt
     done
-    echo "" >> coverage_total.txt
+    echo "" >> coverage_report.txt
 fi
 
-echo "**Note:** Directory PASS/FAIL indicates test results only, not coverage." >> coverage_total.txt
-echo "**Note:** Coverage threshold applies to overall repository coverage only." >> coverage_total.txt
-echo "" >> coverage_total.txt
+echo "**Note:** Directory PASS/FAIL indicates test results only, not coverage." >> coverage_report.txt
+echo "**Note:** Coverage threshold applies to overall repository coverage only." >> coverage_report.txt
+echo "" >> coverage_report.txt
 
-echo "| Directory                           | Coverage | Result   |" >> coverage_total.txt
-echo "|-------------------------------------|----------|----------|" >> coverage_total.txt
+echo "| Directory                           | Coverage | Result   |" >> coverage_report.txt
+echo "|-------------------------------------|----------|----------|" >> coverage_report.txt
 
 # Recreate the table for the report
 for GO_DIR in ${ALL_GO_DIRS}; do
     DIR_NAME=$(echo ${GO_DIR} | sed 's|^\./||')
-    COVERAGE_FILE="${DIR_NAME//\//_}_coverage.out"
-    TEST_LOG="${DIR_NAME//\//_}_test.log"
+    COVERAGE_FILE="${WORK_DIR}/${DIR_NAME//\//_}_coverage.out"
+    TEST_LOG="${WORK_DIR}/${DIR_NAME//\//_}_test.log"
 
     # Check if this directory has test files
     if echo "${TEST_DIRS}" | grep -q "^${GO_DIR}$"; then
@@ -468,7 +487,7 @@ for GO_DIR in ${ALL_GO_DIRS}; do
             fi
 
             printf "| %-35s | %8s%% | %-8s |\n" \
-                "${DIR_NAME}" "${COVERAGE_PCT}" "${STATUS}" >> coverage_total.txt
+                "${DIR_NAME}" "${COVERAGE_PCT}" "${STATUS}" >> coverage_report.txt
         else
             # Tests failed or no coverage generated - check if any coverage was generated
             COVERAGE_DISPLAY="N/A"
@@ -480,60 +499,20 @@ for GO_DIR in ${ALL_GO_DIRS}; do
             fi
 
             printf "| %-35s | %8s | %-8s |\n" \
-                "${DIR_NAME}" "${COVERAGE_DISPLAY}" "FAIL" >> coverage_total.txt
+                "${DIR_NAME}" "${COVERAGE_DISPLAY}" "FAIL" >> coverage_report.txt
         fi
     else
         # Directory has no tests
         if [[ "${FAIL_ON_NO_TESTS}" == "true" ]]; then
             printf "| %-35s | %8s | %-8s |\n" \
-                "${DIR_NAME}" "N/A" "FAIL" >> coverage_total.txt
+                "${DIR_NAME}" "N/A" "FAIL" >> coverage_report.txt
         else
             printf "| %-35s | %8s | %-8s |\n" \
-                "${DIR_NAME}" "N/A" "NO-TESTS" >> coverage_total.txt
+                "${DIR_NAME}" "N/A" "NO-TESTS" >> coverage_report.txt
         fi
     fi
 done
 
-# Generate package-level coverage breakdown
-if [[ -f "overall_coverage.out" ]] && [[ -s "overall_coverage.out" ]]; then
-    echo "" > coverage_packages.txt
-    echo "Package Coverage Breakdown (sorted by coverage ascending):" >> coverage_packages.txt
-    echo "================================================================" >> coverage_packages.txt
-    $GO_BIN tool cover -func="overall_coverage.out" | grep -v "total:" | sort -k3 -n >> coverage_packages.txt
-elif [[ -f "coverage.out" ]] && [[ -s "coverage.out" ]]; then
-    echo "" > coverage_packages.txt
-    echo "Package Coverage Breakdown (sorted by coverage ascending):" >> coverage_packages.txt
-    echo "================================================================" >> coverage_packages.txt
-    $GO_BIN tool cover -func="coverage.out" | grep -v "total:" | sort -k3 -n >> coverage_packages.txt
-fi
-
-# Generate detailed test log
-echo "=== Detailed Test Results ===" > test_raw.log
-echo "Threshold: ${COV_THRESHOLD}%" >> test_raw.log
-echo "Overall Coverage: ${OVERALL_COVERAGE}%" >> test_raw.log
-echo "Status: $(if [[ ${OVERALL_EXIT_CODE} -eq 0 ]]; then echo "PASSED"; else echo "FAILED"; fi)" >> test_raw.log
-echo "" >> test_raw.log
-
-for GO_DIR in ${ALL_GO_DIRS}; do
-    DIR_NAME=$(echo ${GO_DIR} | sed 's|^\./||')
-    TEST_LOG="${DIR_NAME//\//_}_test.log"
-    echo "=== ${DIR_NAME} ===" >> test_raw.log
-
-    # Check if this directory has test files
-    if echo "${TEST_DIRS}" | grep -q "^${GO_DIR}$"; then
-        # Directory has tests - include test log
-        if [[ -f "${TEST_LOG}" ]]; then
-            cat "${TEST_LOG}" >> test_raw.log
-        else
-            echo "No test log found" >> test_raw.log
-        fi
-    else
-        # Directory has no tests
-        echo "No test files found in this directory" >> test_raw.log
-    fi
-    echo "" >> test_raw.log
-done
-
 echo ""
 if [[ ${OVERALL_EXIT_CODE} -eq 0 ]]; then
     echo -e "${GREEN}🎉 All tests passed!${NC}"
@@ -561,5 +540,9 @@ echo "Note: All tests are executed even if some fail (for complete visibility)"
 echo "Note: Directory PASS/FAIL is based on test results only, not coverage."
 echo "Note: Overall coverage threshold (${COV_THRESHOLD}%) applies to repository total."
 echo "Note: Directories without tests are marked as NO-TESTS and $(if [[ "${FAIL_ON_NO_TESTS}" == "true" ]]; then echo "DO"; else echo "DO NOT"; fi) cause build failure"
+echo ""
+echo "Generated files:"
+echo "  - coverage.out: Combined coverage profile (use with 'go tool cover')"
+echo "  - coverage_report.txt: Human-readable coverage summary"
 
 exit ${OVERALL_EXIT_CODE}