Arc 1.8.5

• The Add Agent and Manage Agent flow now shows the room project folder in place. Operators can choose it, change it, or repair a managed agent whose folder is missing without leaving the room; separate per-agent worktrees stay untouched.
• Connections & models can add reusable local models and self-hosted OpenAI-compatible servers such as DwarfStar, LM Studio, and Ollama. Arc discovers model catalogues, accepts an exact model ID when needed, and keeps optional bearer tokens in the operating-system credential store.
• An existing managed agent can change model or source between API, local model, and self-hosted routes while keeping its name, role, history, and room identity. Model selection waits until the room has a project folder, preventing the first turn from starting without a workspace.
• The existing LAN access switch now governs network model servers. Loopback stays available when LAN access is off; when it is on, Arc accepts an explicitly entered HTTP(S) host without scanning the network. Self-hosted server names are optional, collision-safe, and editable.

• Missing project folders now show a clear Required marker and pulse when a blocked source is selected, instead of unexpectedly opening a native folder picker.
• Self-hosted models recover when a server treats required tool calls as advisory, and DwarfStar-style root URLs automatically negotiate the conventional /v1 API base after a 404 or 405.
• The desktop-daemon protocol revision now covers the self-hosted server contract, so a new renderer replaces an incompatible same-version daemon instead of silently attaching to it.
• API model listings no longer repeatedly unlock the macOS login Keychain. Arc uses non-secret credential markers for listings, caches a configured key until it changes, and gives local packaged Mac builds a stable signing identity.
• Reusable local models now carry both the verified llama-server executable receipt and the GGUF model receipt into a managed agent. Seats created by an early 1.8.5 build are repaired from their authoritative source receipt at launch.

Windows 10/11 (64-bit), or macOS 11+ on Apple Silicon.