diff --git a/.operator/data/tasks/T20260705-94A14772.md b/.operator/data/tasks/T20260705-94A14772.md
index 1524fa0..53b0cb6 100644
--- a/.operator/data/tasks/T20260705-94A14772.md
+++ b/.operator/data/tasks/T20260705-94A14772.md
@@ -2,12 +2,12 @@
 id: T20260705-94A14772
 kind: task
 title: Split closed-pr-recovery.ts under the 200 code-line cap by extracting rejection-issue creation
-status: pending
+status: completed
 priority: 4
 created_at: '2026-07-11T08:48:02Z'
+completed_at: "2026-08-06T22:39:32Z"
 parent_id: F20260705-CC7FF1B9
 ---
-
 # Split closed-pr-recovery.ts under the pipeline line cap
 
 ## Problem
diff --git a/engine/pipeline/composers/_shared/rejection-diagnoser.ts b/engine/pipeline/composers/_shared/rejection-diagnoser.ts
new file mode 100644
index 0000000..50cc4a7
--- /dev/null
+++ b/engine/pipeline/composers/_shared/rejection-diagnoser.ts
@@ -0,0 +1,62 @@
+import type { OperationContext, PromptSource } from "@operator/core";
+import { errorMessage } from "@operator/core";
+import type { AgentRuntime, AgentRunInput } from "../../../agents/runtime.js";
+import type { AgentsFile } from "../../../config/schemas.js";
+import { resolveRole, instructionsPathToTopic } from "../../../agents/roles.js";
+import { stripPreamble, stripCodeFences } from "../../../agents/output-parser.js";
+import type { Logger } from "../../../logging/logger.js";
+import type { StateContextVars, WorkItemFileData } from "../../../work-items/work-items.js";
+
+export interface RejectionDiagnoserDeps {
+  readonly agentRuntime: AgentRuntime;
+  readonly agentsConfig: AgentsFile;
+  readonly promptSource: PromptSource;
+  readonly automationDir: string;
+  readonly workspacePath: string;
+  readonly stateVars?: StateContextVars;
+  readonly log?: Logger;
+}
+
+export async function runRejectionDiagnoser(
+  deps: RejectionDiagnoserDeps,
+  ctx: OperationContext,
+  item: WorkItemFileData,
+  feedback: string,
+): Promise<string> {
+  try {
+    const diagRole = resolveRole(deps.agentsConfig, "diagnoser");
+    const runInput: AgentRunInput = {
+      agentName: "diagnoser",
+      providerId: diagRole.provider,
+      promptContext: {
+        promptSource: deps.promptSource,
+        automationDir: deps.automationDir,
+        contextFiles: diagRole.context,
+        instructionsTopic: instructionsPathToTopic(diagRole.instructions),
+        vars: { TASK_ID: item.id, FEEDBACK: feedback, ...deps.stateVars },
+      },
+      taskContent: `Analyze rejection for ${item.id}: ${item.title}\n\n${feedback}`,
+      model: diagRole.model,
+      timeoutMs: diagRole.timeout * 1000,
+      tools: diagRole.tools.length > 0 ? diagRole.tools : undefined,
+      maxBudgetUsd: diagRole.maxBudget,
+      maxRetries: 1,
+      reviewEnabled: false,
+      cwd: deps.workspacePath,
+    };
+    const result = await deps.agentRuntime.run(runInput, ctx);
+    const cleaned = stripPreamble(stripCodeFences(result.output.trim()));
+    const match = cleaned.match(/^recommendation:\s*(.+)$/m);
+    const value = match ? match[1].trim() : "poor-implementation";
+    deps.log?.info(`rejection: diagnoser for ${item.id} → ${value}`, {
+      scope: "rejection", itemId: item.id, recommendation: value,
+    });
+    return value;
+  } catch (err) {
+    deps.log?.error(`rejection: diagnoser agent failed for ${item.id}`, {
+      scope: "rejection", itemId: item.id, error: errorMessage(err),
+      cause: err instanceof Error && err.cause ? String(err.cause) : undefined,
+    });
+    return "poor-implementation";
+  }
+}
diff --git a/engine/pipeline/composers/_shared/rejection-issue.test.ts b/engine/pipeline/composers/_shared/rejection-issue.test.ts
new file mode 100644
index 0000000..86b267f
--- /dev/null
+++ b/engine/pipeline/composers/_shared/rejection-issue.test.ts
@@ -0,0 +1,149 @@
+import { describe, it, expect, vi, beforeEach, afterEach } from "vitest";
+import { mkdtemp, mkdir, writeFile, rm } from "node:fs/promises";
+import { tmpdir } from "node:os";
+import { join } from "node:path";
+import type { ConventionsConfig, TrackerPlatform } from "@operator/core";
+import type { TemplateSource } from "../../../agents/kv-template-source.js";
+import type { Logger } from "../../../logging/logger.js";
+import {
+  createRejectionIssue,
+  loadRejectedIssueTemplate,
+  type RejectionIssueDeps,
+} from "./rejection-issue.js";
+
+const CONVENTIONS: ConventionsConfig = {
+  labels: {
+    pending: "ai:pending", processing: "ai:processing",
+    inReview: "ai:in-review", readyToMerge: "ai:ready-to-merge", failed: "ai:failed", manual: "ai:manual",
+  },
+  branches: {
+    aiPrefix: "ai", init: "ai/init", tasks: "ai/tasks",
+    findings: "ai/findings", research: "ai/research", improver: "ai/improver",
+  },
+  prPrefixes: {
+    task: "[AI:Task]", finding: "[AI:Finding]", research: "[AI:Research]",
+    improver: "[AI:Improver]", init: "[AI:Init]",
+  },
+  patterns: { taskId: "T{DATE}-{SEQ}", findingPrefix: "F" },
+  commentMarker: "<!-- bot:operator -->",
+};
+
+function makeTracker(): TrackerPlatform {
+  return {
+    id: "github",
+    capabilities: { codeReviews: false, labels: false, branches: false, comments: false, workItems: true, issueHierarchy: false },
+    getWorkItems: vi.fn().mockResolvedValue([]),
+    getWorkItem: vi.fn().mockResolvedValue(null),
+    updateWorkItem: vi.fn().mockResolvedValue(undefined),
+    postWorkItemComment: vi.fn().mockResolvedValue({ id: "1", author: "bot", body: "", createdAt: "" }),
+    createWorkItem: vi.fn().mockResolvedValue({ id: "1", kind: "request", title: "", body: "", status: "pending", priority: 5, createdAt: "", updatedAt: "" }),
+  };
+}
+
+let tmp: string;
+let templatesDir: string;
+
+beforeEach(async () => {
+  tmp = await mkdtemp(join(tmpdir(), "rejection-issue-"));
+  templatesDir = join(tmp, "templates");
+  await mkdir(templatesDir, { recursive: true });
+});
+
+afterEach(async () => {
+  await rm(tmp, { recursive: true, force: true });
+});
+
+function makeDeps(overrides?: Partial<RejectionIssueDeps>): RejectionIssueDeps {
+  return {
+    tracker: makeTracker(),
+    conventions: CONVENTIONS,
+    templatesDir,
+    ...overrides,
+  };
+}
+
+describe("loadRejectedIssueTemplate", () => {
+  it("loads from TemplateSource when wired", async () => {
+    const templates = {
+      load: vi.fn().mockResolvedValue("kv-body {ITEM_ID}"),
+    } as unknown as TemplateSource;
+    const body = await loadRejectedIssueTemplate(makeDeps({ templates }), { ITEM_ID: "T1" });
+    expect(body).toBe("kv-body {ITEM_ID}");
+    expect(templates.load).toHaveBeenCalledWith("rejected-issue-body.md", { ITEM_ID: "T1" });
+  });
+
+  it("falls back to filesystem read when TemplateSource is missing", async () => {
+    await writeFile(join(templatesDir, "rejected-issue-body.md"), "fs-body {ITEM_ID}");
+    const warn = vi.fn();
+    const log = { info: vi.fn(), debug: vi.fn(), warn, error: vi.fn() } as unknown as Logger;
+    const body = await loadRejectedIssueTemplate(makeDeps({ log }), { ITEM_ID: "T1" });
+    expect(body).toBe("fs-body T1");
+    expect(warn).toHaveBeenCalledWith(
+      "rejection: TemplateSource missing, falling back to filesystem read",
+      expect.objectContaining({ scope: "rejection", templatesDir }),
+    );
+  });
+});
+
+describe("createRejectionIssue", () => {
+  it("creates a manual tracker issue with substituted template", async () => {
+    await writeFile(join(templatesDir, "rejected-issue-body.md"), "{ITEM_ID} {RECOMMENDATION}");
+    const tracker = makeTracker();
+    await createRejectionIssue(
+      makeDeps({ tracker }),
+      {
+        id: "T20260322-000101", kind: "task", title: "Fix bug", body: "details",
+        status: "pending", priority: 5, createdAt: "", previousPrs: "10,20",
+      },
+      "task",
+      50,
+      "max-retries",
+      2,
+    );
+    expect(tracker.createWorkItem).toHaveBeenCalledOnce();
+    expect(tracker.createWorkItem).toHaveBeenCalledWith({
+      title: "[ai:manual] task T20260322-000101: Fix bug",
+      body: "T20260322-000101 max-retries",
+      labels: ["ai:manual"],
+    });
+  });
+
+  it("returns without calling tracker when none is supplied", async () => {
+    const tracker = makeTracker();
+    await createRejectionIssue(
+      makeDeps({ tracker: undefined }),
+      {
+        id: "T1", kind: "task", title: "T", body: "",
+        status: "pending", priority: 5, createdAt: "",
+      },
+      "task",
+      1,
+      "max-retries",
+      0,
+    );
+    expect(tracker.createWorkItem).not.toHaveBeenCalled();
+  });
+
+  it("logs error and continues when tracker.createWorkItem fails", async () => {
+    await writeFile(join(templatesDir, "rejected-issue-body.md"), "{ITEM_ID}");
+    const tracker = makeTracker();
+    (tracker.createWorkItem as ReturnType<typeof vi.fn>).mockRejectedValue(new Error("boom"));
+    const error = vi.fn();
+    const log = { info: vi.fn(), debug: vi.fn(), warn: vi.fn(), error } as unknown as Logger;
+    await createRejectionIssue(
+      makeDeps({ tracker, log }),
+      {
+        id: "T20260322-000101", kind: "task", title: "T1", body: "",
+        status: "pending", priority: 5, createdAt: "", previousPrs: "10,20",
+      },
+      "task",
+      50,
+      "max-retries",
+      2,
+    );
+    expect(error).toHaveBeenCalledWith(
+      "rejection: manual-issue creation failed for T20260322-000101",
+      expect.objectContaining({ scope: "rejection", itemId: "T20260322-000101" }),
+    );
+  });
+});
diff --git a/engine/pipeline/composers/_shared/rejection-issue.ts b/engine/pipeline/composers/_shared/rejection-issue.ts
new file mode 100644
index 0000000..d04d5cb
--- /dev/null
+++ b/engine/pipeline/composers/_shared/rejection-issue.ts
@@ -0,0 +1,80 @@
+import { readFile } from "node:fs/promises";
+import { join } from "node:path";
+import type { ConventionsConfig, TrackerPlatform, WorkItemKind } from "@operator/core";
+import { errorMessage } from "@operator/core";
+import type { TemplateSource } from "../../../agents/kv-template-source.js";
+import type { Logger } from "../../../logging/logger.js";
+import type { WorkItemFileData } from "../../../work-items/work-items.js";
+
+export interface RejectionIssueDeps {
+  readonly tracker?: TrackerPlatform;
+  readonly conventions: ConventionsConfig;
+  readonly templates?: TemplateSource;
+  readonly templatesDir: string;
+  readonly log?: Logger;
+}
+
+/**
+ * Load the `rejected-issue-body.md` template with placeholder substitution.
+ * Prefers the KV template source when wired (Step 15 runtime path); falls
+ * back to the filesystem read against `templatesDir` only for test harnesses
+ * that stub templates on disk without a KV instance.
+ */
+export async function loadRejectedIssueTemplate(
+  deps: RejectionIssueDeps,
+  vars: Record<string, string>,
+): Promise<string> {
+  if (deps.templates) {
+    return deps.templates.load("rejected-issue-body.md", vars);
+  }
+  deps.log?.warn("rejection: TemplateSource missing, falling back to filesystem read", {
+    scope: "rejection", templatesDir: deps.templatesDir,
+  });
+  const templatePath = join(deps.templatesDir, "rejected-issue-body.md");
+  let body = await readFile(templatePath, "utf-8");
+  for (const [key, value] of Object.entries(vars)) {
+    body = body.replaceAll(`{${key}}`, value);
+  }
+  return body;
+}
+
+export async function createRejectionIssue(
+  deps: RejectionIssueDeps,
+  item: WorkItemFileData,
+  kind: WorkItemKind,
+  prId: number,
+  recommendation: string,
+  prevCount: number,
+): Promise<void> {
+  if (!deps.tracker) return;
+  try {
+    const prLinks = item.previousPrs
+      ? item.previousPrs.split(",").map((n) => `- #${n.trim()}`).join("\n") + `\n- #${prId}`
+      : `- #${prId}`;
+
+    const template = await loadRejectedIssueTemplate(deps, {
+      ITEM_TYPE: kind,
+      ITEM_TITLE: item.title,
+      ITEM_ID: item.id,
+      PRIORITY: String(item.priority),
+      RECOMMENDATION: recommendation,
+      ATTEMPT_COUNT: String(prevCount + 1),
+      ITEM_BODY: item.body,
+      REJECTION_REPORT: `Rejected after ${prevCount + 1} attempt(s)`,
+      PR_LINKS: prLinks,
+    });
+
+    const manualLabel = deps.conventions.labels.manual || "ai:manual";
+    if (deps.tracker.createWorkItem) {
+      await deps.tracker.createWorkItem({
+        title: `[${manualLabel}] ${kind} ${item.id}: ${item.title}`,
+        body: template,
+        labels: [manualLabel],
+      });
+    }
+  } catch (err) {
+    deps.log?.error(`rejection: manual-issue creation failed for ${item.id}`, {
+      scope: "rejection", itemId: item.id, error: errorMessage(err),
+    });
+  }
+}
diff --git a/engine/pipeline/composers/_shared/reopen-work-item.ts b/engine/pipeline/composers/_shared/reopen-work-item.ts
new file mode 100644
index 0000000..4ba47f3
--- /dev/null
+++ b/engine/pipeline/composers/_shared/reopen-work-item.ts
@@ -0,0 +1,33 @@
+import { readFile, writeFile } from "node:fs/promises";
+import type { OperationContext, StateManager } from "@operator/core";
+import { syncWorkItemToDb, type WorkItemFileData } from "../../../work-items/work-items.js";
+
+export async function reopenWorkItem(
+  filePath: string,
+  item: WorkItemFileData,
+  prId: number,
+  state: StateManager,
+  ctx: OperationContext,
+): Promise<void> {
+  const timestamp = new Date().toISOString().replace(/\.\d{3}Z$/, "Z");
+  let content = await readFile(filePath, "utf-8");
+  content = content.replace(/^status:\s*.+$/m, "status: reopened");
+
+  if (/^reopened_at:/m.test(content)) {
+    content = content.replace(/^reopened_at:\s*.+$/m, `reopened_at: "${timestamp}"`);
+  } else {
+    content = content.replace(/^(status:\s*.+)$/m, `$1\nreopened_at: "${timestamp}"`);
+  }
+
+  const prevPrs = item.previousPrs ? `${item.previousPrs},${prId}` : String(prId);
+  if (/^previous_prs:/m.test(content)) {
+    content = content.replace(/^previous_prs:\s*.+$/m, `previous_prs: ${prevPrs}`);
+  } else {
+    content = content.replace(/^(status:\s*.+)$/m, `$1\nprevious_prs: ${prevPrs}`);
+  }
+
+  await writeFile(filePath, content, "utf-8");
+  await syncWorkItemToDb(state, ctx, {
+    ...item, status: "reopened", previousPrs: prevPrs,
+  });
+}
diff --git a/engine/pipeline/composers/closed-pr-recovery.ts b/engine/pipeline/composers/closed-pr-recovery.ts
index 985f1af..e6f49c0 100644
--- a/engine/pipeline/composers/closed-pr-recovery.ts
+++ b/engine/pipeline/composers/closed-pr-recovery.ts
@@ -1,4 +1,4 @@
-import { readFile, writeFile, readdir } from "node:fs/promises";
+import { readdir } from "node:fs/promises";
 import { join, dirname } from "node:path";
 import type {
   OperationContext, StateManager, VCSPlatform, TrackerPlatform,
@@ -6,16 +6,17 @@ import type {
 } from "@operator/core";
 import type { KindDefinition } from "@operator/core";
 import { errorMessage } from "@operator/core";
-import type { AgentRuntime, AgentRunInput } from "../../agents/runtime.js";
+import type { AgentRuntime } from "../../agents/runtime.js";
 import type { AgentsFile } from "../../config/schemas.js";
 import type { Logger } from "../../logging/logger.js";
-import { resolveRole, instructionsPathToTopic } from "../../agents/roles.js";
-import { stripPreamble, stripCodeFences } from "../../agents/output-parser.js";
 import type { TemplateSource } from "../../agents/kv-template-source.js";
 import {
   readWorkItemFile, updateWorkItemFileStatus, syncWorkItemToDb,
   type StateContextVars, type WorkItemFileData,
 } from "../../work-items/work-items.js";
+import { createRejectionIssue } from "./_shared/rejection-issue.js";
+import { reopenWorkItem } from "./_shared/reopen-work-item.js";
+import { runRejectionDiagnoser } from "./_shared/rejection-diagnoser.js";
 
 /**
  * Rejection-handler sub-flow (ports v4 `processRejections` from the deleted
@@ -182,9 +183,9 @@ async function processItem(
 
   // User feedback → diagnoser pass.
   if (userComments.trim()) {
-    const recommendation = await runDiagnoser(deps, ctx, item, userComments);
+    const recommendation = await runRejectionDiagnoser(deps, ctx, item, userComments);
     if (shouldReopen(recommendation) && prevCount < MAX_REOPENS) {
-      await reopenItem(filePath, item, rejectedPR.id, deps.state, ctx);
+      await reopenWorkItem(filePath, item, rejectedPR.id, deps.state, ctx);
       return "reopened";
     }
     await createRejectionIssue(deps, item, kind, rejectedPR.id, recommendation, prevCount);
@@ -195,7 +196,7 @@ async function processItem(
 
   // No user comments: auto-retry until MAX_REOPENS.
   if (prevCount < MAX_REOPENS) {
-    await reopenItem(filePath, item, rejectedPR.id, deps.state, ctx);
+    await reopenWorkItem(filePath, item, rejectedPR.id, deps.state, ctx);
     return "reopened";
   }
 
@@ -220,145 +221,6 @@ function shouldReopen(recommendation: string): boolean {
   return recommendation === "poor-implementation" || recommendation === "approach-wrong";
 }
 
-async function runDiagnoser(
-  deps: RejectionHandlerDeps,
-  ctx: OperationContext,
-  item: WorkItemFileData,
-  feedback: string,
-): Promise<string> {
-  try {
-    const diagRole = resolveRole(deps.agentsConfig, "diagnoser");
-    const runInput: AgentRunInput = {
-      agentName: "diagnoser",
-      providerId: diagRole.provider,
-      promptContext: {
-        promptSource: deps.promptSource,
-        automationDir: deps.automationDir,
-        contextFiles: diagRole.context,
-        instructionsTopic: instructionsPathToTopic(diagRole.instructions),
-        vars: { TASK_ID: item.id, FEEDBACK: feedback, ...deps.stateVars },
-      },
-      taskContent: `Analyze rejection for ${item.id}: ${item.title}\n\n${feedback}`,
-      model: diagRole.model,
-      timeoutMs: diagRole.timeout * 1000,
-      tools: diagRole.tools.length > 0 ? diagRole.tools : undefined,
-      maxBudgetUsd: diagRole.maxBudget,
-      maxRetries: 1,
-      reviewEnabled: false,
-      cwd: deps.workspacePath,
-    };
-    const result = await deps.agentRuntime.run(runInput, ctx);
-    const cleaned = stripPreamble(stripCodeFences(result.output.trim()));
-    const match = cleaned.match(/^recommendation:\s*(.+)$/m);
-    const value = match ? match[1].trim() : "poor-implementation";
-    deps.log?.info(`rejection: diagnoser for ${item.id} → ${value}`, {
-      scope: "rejection", itemId: item.id, recommendation: value,
-    });
-    return value;
-  } catch (err) {
-    deps.log?.error(`rejection: diagnoser agent failed for ${item.id}`, {
-      scope: "rejection", itemId: item.id, error: errorMessage(err),
-      cause: err instanceof Error && err.cause ? String(err.cause) : undefined,
-    });
-    return "poor-implementation";
-  }
-}
-
-async function reopenItem(
-  filePath: string,
-  item: WorkItemFileData,
-  prId: number,
-  state: StateManager,
-  ctx: OperationContext,
-): Promise<void> {
-  const timestamp = new Date().toISOString().replace(/\.\d{3}Z$/, "Z");
-  let content = await readFile(filePath, "utf-8");
-  content = content.replace(/^status:\s*.+$/m, "status: reopened");
-
-  if (/^reopened_at:/m.test(content)) {
-    content = content.replace(/^reopened_at:\s*.+$/m, `reopened_at: "${timestamp}"`);
-  } else {
-    content = content.replace(/^(status:\s*.+)$/m, `$1\nreopened_at: "${timestamp}"`);
-  }
-
-  const prevPrs = item.previousPrs ? `${item.previousPrs},${prId}` : String(prId);
-  if (/^previous_prs:/m.test(content)) {
-    content = content.replace(/^previous_prs:\s*.+$/m, `previous_prs: ${prevPrs}`);
-  } else {
-    content = content.replace(/^(status:\s*.+)$/m, `$1\nprevious_prs: ${prevPrs}`);
-  }
-
-  await writeFile(filePath, content, "utf-8");
-  await syncWorkItemToDb(state, ctx, {
-    ...item, status: "reopened", previousPrs: prevPrs,
-  });
-}
-
-/**
- * Load the `rejected-issue-body.md` template with placeholder substitution.
- * Prefers the KV template source when wired (Step 15 runtime path); falls
- * back to the filesystem read against `templatesDir` only for test harnesses
- * that stub templates on disk without a KV instance.
- */
-async function loadRejectedIssueTemplate(
-  deps: RejectionHandlerDeps,
-  vars: Record<string, string>,
-): Promise<string> {
-  if (deps.templates) {
-    return deps.templates.load("rejected-issue-body.md", vars);
-  }
-  deps.log?.warn("rejection: TemplateSource missing, falling back to filesystem read", {
-    scope: "rejection", templatesDir: deps.templatesDir,
-  });
-  const templatePath = join(deps.templatesDir, "rejected-issue-body.md");
-  let body = await readFile(templatePath, "utf-8");
-  for (const [key, value] of Object.entries(vars)) {
-    body = body.replaceAll(`{${key}}`, value);
-  }
-  return body;
-}
-
-async function createRejectionIssue(
-  deps: RejectionHandlerDeps,
-  item: WorkItemFileData,
-  kind: WorkItemKind,
-  prId: number,
-  recommendation: string,
-  prevCount: number,
-): Promise<void> {
-  if (!deps.tracker) return;
-  try {
-    const prLinks = item.previousPrs
-      ? item.previousPrs.split(",").map((n) => `- #${n.trim()}`).join("\n") + `\n- #${prId}`
-      : `- #${prId}`;
-
-    const template = await loadRejectedIssueTemplate(deps, {
-      ITEM_TYPE: kind,
-      ITEM_TITLE: item.title,
-      ITEM_ID: item.id,
-      PRIORITY: String(item.priority),
-      RECOMMENDATION: recommendation,
-      ATTEMPT_COUNT: String(prevCount + 1),
-      ITEM_BODY: item.body,
-      REJECTION_REPORT: `Rejected after ${prevCount + 1} attempt(s)`,
-      PR_LINKS: prLinks,
-    });
-
-    const manualLabel = deps.conventions.labels.manual || "ai:manual";
-    if (deps.tracker.createWorkItem) {
-      await deps.tracker.createWorkItem({
-        title: `[${manualLabel}] ${kind} ${item.id}: ${item.title}`,
-        body: template,
-        labels: [manualLabel],
-      });
-    }
-  } catch (err) {
-    deps.log?.error(`rejection: manual-issue creation failed for ${item.id}`, {
-      scope: "rejection", itemId: item.id, error: errorMessage(err),
-    });
-  }
-}
-
 function countPreviousPrs(previousPrs?: string): number {
   if (!previousPrs) return 0;
   return previousPrs.split(",").filter((s) => /\d/.test(s)).length;