OS: Win 11 x64
Build Version: 20260427.1

Repro Steps:

1. Create a MSSQL Durable project.
2. Debug the project -> Select "Connect Azure SQL Database".
3. Check whether the next step is "Select a SQL server" or not.

Expect:
The next step is "Select a SQL server".

Actual:
The next step is "Select a resource group".

More Info;
Selecting any resource group always leads to the same “Select a SQL server” step, and the SQL server list does not change based on the selected resource group.