CLAUDE_CODE_ENABLE_FUNCTION_HOOKS is no longer injected or mentioned in the hooks-off message

What

CLAUDE_CODE_ENABLE_FUNCTION_HOOKS is an environment variable, a setting passed to a program when it starts. Several places that used it have changed:

• Claude Code no longer adds CLAUDE_CODE_ENABLE_FUNCTION_HOOKS: "1" when it builds the environment for a program it launches. It now passes the copied environment through unchanged.
• A fixed CLAUDE_CODE_ENABLE_FUNCTION_HOOKS entry in the list of variables passed along to other processes was replaced by a shared list.
• The check that decides whether function hooks are on no longer reads the variable directly. It now goes through a different check.
• The message shown when hooks modules are turned off is shorter. It used to say the variable could be set to 0 in a settings file or the environment to turn them off, and set to 1 to force them on over a rollout that served off. It now says only that the rollout switch served off. For installed plugins it adds that built-in plugins load regardless. For plugin tests it says they run only while the switch is on.
• A new apply-project-settings subcommand check was also observed in the same area.

The variable's name now appears 2 times in the program instead of 12. That suggests the override was removed or reduced, but the members did not confirm it.

Why

If you or a plugin's tests relied on setting CLAUDE_CODE_ENABLE_FUNCTION_HOOKS=1 to force hooks modules on, check that it still has an effect. The error message no longer offers it as an option.