Conversation history no longer persists after Developer: Reload Window in VS Code

Description

Conversation history used to persist after using Developer: Reload Window in VS Code. As of today (2026-05-15), the conversation is cleared on reload instead of being restored.

Steps to Reproduce

1. Start a conversation with Claude Code in VS Code
2. Use Developer: Reload Window (or Ctrl+Shift+P → "Developer: Reload Window")
3. Observe that conversation history is gone

Expected Behavior

Conversation history should be restored after the window reloads, as it did previously.

Actual Behavior

Conversation history is completely lost after reload.

When Did It Stop Working

• Last working: 2026-05-14
• First broken: 2026-05-15 (likely due to an overnight auto-update)

Environment

• OS: macOS (Darwin 25.5.0)
• IDE: VS Code with Claude Code extension