feat: Added B&W/grayscale/color conversion modes, invert toggle, 10+ mode-aware sliders, mask regions, turnpolicy, and white preview background

Engine:
- preprocess() accepts conversion_mode (bw/grayscale/color), invert, mask_regions
- B&W: full pipeline → binary; Grayscale: skip threshold → 8-bit; Color: skip grayscale → BGR
- routes.py forces VTracer for non-binary modes, sets colormode appropriately
- potrace_trace() accepts turnpolicy param mapped to potrace constants
- 27 new tests in test_modes.py (modes, invert, masks, params, vectorization)

App:
- Mode selector tabs (B&W | Grayscale | Color) in ImportConvert
- Invert toggle (B&W only)
- ParameterSliders rewritten: grouped sections, 10+ mode-aware controls
- Debounce reduced from 300ms to 100ms
- Preview background changed to white
- Preset JSONs updated with turnpolicy, color_precision, layer_difference defaults

Tests: 126 app + 234 engine = 360 total, all pass. Zero TypeScript errors.

.gsd/STATE.md

@@ -0,0 +1,21 @@
+# GSD State
+
+**Active Milestone:** M004: M004
+**Active Slice:** S01: Conversion Modes + Invert + Expanded Sliders
+**Phase:** summarizing
+**Requirements Status:** 0 active · 0 validated · 0 deferred · 0 out of scope
+
+## Milestone Registry
+- ✅ **M001:** Kerf Engine — Raster-to-Vector Pipeline & API
+- ✅ **M002:** M002: React Frontend — Import & Convert UI + Design Canvas
+- ✅ **M003:** M003: Export, Deployment & Embedding
+- 🔄 **M004:** M004
+
+## Recent Decisions
+- None recorded
+
+## Blockers
+- None
+
+## Next Action
+All tasks done in S01. Write slice summary and complete slice.

.gsd/completed-units.json

@@ -0,0 +1 @@
+[]

.gsd/event-log.jsonl

@@ -45,3 +45,8 @@
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.gsd/milestones/M004/M004-ROADMAP.md

@@ -0,0 +1,11 @@
+# M004: 
+
+## Vision
+Transform the Import & Convert view from a basic B&W converter into a powerful, responsive image interrogation tool. Add color/grayscale/B&W mode selector with invert, expose the full depth of engine preprocessing and vectorization parameters as intuitive sliders, slash perceived latency with aggressive abort + optimistic UI, add a rectangular cutout/mask tool for removing unwanted regions, and fix the dark preview background.
+
+## Slice Overview
+| ID | Slice | Risk | Depends | Done | After this |
+|----|-------|------|---------|------|------------|
+| S01 | Conversion Modes + Invert + Expanded Sliders | high — structural change to engine preprocessing pipeline | — | ⬜ | Upload a color image. Switch between B&W, Grayscale, Color modes — each produces distinct output. Toggle invert. Drag 10+ sliders — each visibly affects the output. |
+| S02 | Responsive Preview + Latency Reduction | medium — behavior change to debounce timing and loading ux | S01 | ⬜ | Drag any slider — preview updates near-instantly. During loading, previous result stays visible at reduced opacity. Processing time shown. |
+| S03 | Cutout Tool + White Background | medium — new interactive overlay on import view | S01 | ⬜ | Upload image. Draw rectangle(s) on the preview to mark exclusion zones. Vectorization output omits masked regions. Preview has white background. |

.gsd/milestones/M004/slices/S01/S01-PLAN.md

@@ -0,0 +1,100 @@
+# S01: Conversion Modes + Invert + Expanded Sliders
+
+**Goal:** Add conversion_mode (bw/grayscale/color) and invert to the engine pipeline, expose all hidden preprocessing and vectorization parameters as UI sliders, wire everything end-to-end
+**Demo:** After this: Upload a color image. Switch between B&W, Grayscale, Color modes — each produces distinct output. Toggle invert. Drag 10+ sliders — each visibly affects the output.
+
+## Tasks
+- [x] **T01: Engine supports B&W/grayscale/color conversion modes, invert, mask regions, turnpolicy, and all previously-hidden preprocessing params — 27 new tests, 234 total pass** — Refactor preprocess() to accept a `conversion_mode` param (bw/grayscale/color) and `invert` bool.
+
+**B&W mode (current behavior):** decode → grayscale → denoise → contrast → threshold → [invert] → morphological
+**Grayscale mode:** decode → grayscale → denoise → contrast → skip threshold → skip morphological (return 8-bit grayscale for VTracer)
+**Color mode:** decode → denoise (bilateral on BGR) → skip grayscale/threshold/morphological (return BGR for VTracer)
+**Invert:** cv2.bitwise_not() after threshold (B&W mode only)
+
+Update routes.py /engine/trace to accept `conversion_mode` and `invert` as form params (via resolve_params or direct). In color/grayscale modes, force vectorization to vtracer (potrace only handles binary). For color mode, set VTracer colormode='color'. For grayscale mode, set VTracer colormode='binary' but pass the 8-bit grayscale (VTracer quantizes internally).
+
+Expose the following previously-hidden preprocessing params through resolve_params and accept them in /engine/trace:
+- threshold_manual (0-255, B&W mode only) — manual threshold override
+- morph_kernel_size (1-15, B&W mode only)
+- morph_dilate_iterations (0-5, B&W mode only)
+- morph_erode_iterations (0-5, B&W mode only)
+- edge_detect (bool, B&W mode only)
+- edge_low (0-255, when edge_detect=true)
+- edge_high (0-255, when edge_detect=true)
+
+Expose VTracer-specific params for color/grayscale modes:
+- color_precision (1-8) — fewer bits = fewer colors/gray levels
+- layer_difference (0-128) — threshold for layer grouping
+- hierarchical ('stacked'/'cutout')
+- length_threshold (0.0-20.0)
+- splice_threshold (0-180)
+- max_iterations (1-20)
+
+Expose Potrace-specific param:
+- turnpolicy (minority/majority/black/white/left/right) — how ambiguities are resolved
+- opttolerance (0.0-2.0) — curve optimization tolerance
+
+Write tests for: B&W mode produces binary SVG, grayscale mode produces multi-gray SVG, color mode produces multi-color SVG, invert flips B&W output, color_precision slider reduces path count at lower values, threshold_manual overrides Otsu, morphological params change output.
+  - Estimate: 3-4 hours
+  - Files: engine/pipeline/preprocessing.py, engine/api/routes.py, engine/presets/loader.py, engine/tests/test_modes.py
+  - Verify: cd engine && .venv/bin/python -m pytest tests/test_modes.py -v -W ignore::DeprecationWarning — all tests pass
+- [x] **T02: Mode selector (B&W/Grayscale/Color), invert toggle, and 10+ mode-aware sliders with grouped sections — TypeScript clean, 126 tests pass** — Rewrite ParameterSliders to show mode-appropriate sliders. The mode selector and invert toggle are new top-level controls in ImportConvert.
+
+**New controls in ImportConvert.tsx:**
+- Conversion Mode selector (segmented/tab control): B&W | Grayscale | Color
+- Invert toggle (checkbox/switch, B&W mode only)
+
+**ParameterSliders changes — mode-aware slider groups:**
+
+All modes:
+- Detail Level (epsilon: 0.1-20, step 0.1) — widened from 0.5-10
+
+B&W + Potrace:
+- Noise Filter (turdsize: 0-200, step 1) — widened from 0-50
+- Curve Smoothing (alphamax: 0-1.334, step 0.01) — finer step
+- Curve Optimize (opttolerance: 0-2.0, step 0.05) — NEW
+- Turn Policy (turnpolicy: dropdown) — NEW
+- Threshold (threshold_manual: 0-255, step 1) — NEW, with 'Auto' toggle for Otsu
+- Dilate (morph_dilate_iterations: 0-10, step 1) — NEW, widened
+- Erode (morph_erode_iterations: 0-10, step 1) — NEW, widened
+- Edge Detect (edge_detect: toggle) — NEW
+- Edge Low/High (0-255, shown when edge_detect on) — NEW
+
+B&W + VTracer:
+- Noise Filter (filter_speckle: 0-200, step 1) — widened
+- Corner Threshold (corner_threshold: 0-180, step 1)
+- Length Threshold (length_threshold: 0-20, step 0.5) — NEW
+- Splice Threshold (splice_threshold: 0-180, step 1) — NEW
+- Threshold / Dilate / Erode / Edge (same as potrace B&W)
+
+Grayscale mode (VTracer only):
+- Color Precision (color_precision: 1-8, step 1) — controls gray levels
+- Layer Difference (layer_difference: 0-128, step 1) — NEW
+- Noise Filter, Corner Threshold, Length Threshold, Splice Threshold
+
+Color mode (VTracer only):
+- Color Precision (color_precision: 1-8, step 1) — controls color count
+- Layer Difference (layer_difference: 0-128, step 1) — NEW
+- Hierarchical (hierarchical: 'stacked'/'cutout' toggle) — NEW
+- Noise Filter, Corner Threshold, Length Threshold, Splice Threshold
+
+Update useDebouncedTrace to pass conversion_mode and invert as part of the params object sent to traceImage(). Update traceImage() in engine.ts to include these in the FormData.
+
+Update default params logic: when user switches mode, reset sliders to mode-appropriate defaults from preset config.
+
+Add slider group labels/sections for visual organization (Preprocessing | Vectorization | Post-processing).
+  - Estimate: 2-3 hours
+  - Files: app/src/views/ImportConvert.tsx, app/src/components/ParameterSliders.tsx, app/src/api/engine.ts, app/src/types/engine.ts, app/src/App.css
+  - Verify: npx tsc -b --noEmit exits 0 && npx vitest run passes all tests
+- [x] **T03: Updated preset JSON files with new param defaults (turnpolicy, color_precision, layer_difference) — 360 total tests pass, zero regressions** — End-to-end integration verification. Ensure:
+1. Each conversion mode sends correct params to engine and receives valid SVG
+2. Mode switching resets sliders appropriately
+3. Invert toggle sends invert=true and engine applies it
+4. New sliders (threshold, morph, edge, color_precision, etc.) pass values through and affect output
+5. Existing preset selection still works — presets provide defaults for new params
+6. Update preset JSON files to include sensible defaults for new params (conversion_mode, turnpolicy, etc.)
+
+Run full test suite from root. Fix any regressions.
+  - Estimate: 1-2 hours
+  - Files: engine/presets/sign.json, engine/presets/patch.json, engine/presets/stencil.json, engine/presets/detailed.json, engine/presets/custom.json
+  - Verify: npx tsc -b --noEmit && npx vitest run && cd engine && .venv/bin/python -m pytest tests/ -v -W ignore::DeprecationWarning — all pass

.gsd/milestones/M004/slices/S01/tasks/T01-PLAN.md

@@ -0,0 +1,57 @@
+---
+estimated_steps: 25
+estimated_files: 4
+skills_used: []
+---
+
+# T01: Engine: Conversion Modes + Invert + Expanded Params
+
+Refactor preprocess() to accept a `conversion_mode` param (bw/grayscale/color) and `invert` bool.
+
+**B&W mode (current behavior):** decode → grayscale → denoise → contrast → threshold → [invert] → morphological
+**Grayscale mode:** decode → grayscale → denoise → contrast → skip threshold → skip morphological (return 8-bit grayscale for VTracer)
+**Color mode:** decode → denoise (bilateral on BGR) → skip grayscale/threshold/morphological (return BGR for VTracer)
+**Invert:** cv2.bitwise_not() after threshold (B&W mode only)
+
+Update routes.py /engine/trace to accept `conversion_mode` and `invert` as form params (via resolve_params or direct). In color/grayscale modes, force vectorization to vtracer (potrace only handles binary). For color mode, set VTracer colormode='color'. For grayscale mode, set VTracer colormode='binary' but pass the 8-bit grayscale (VTracer quantizes internally).
+
+Expose the following previously-hidden preprocessing params through resolve_params and accept them in /engine/trace:
+- threshold_manual (0-255, B&W mode only) — manual threshold override
+- morph_kernel_size (1-15, B&W mode only)
+- morph_dilate_iterations (0-5, B&W mode only)
+- morph_erode_iterations (0-5, B&W mode only)
+- edge_detect (bool, B&W mode only)
+- edge_low (0-255, when edge_detect=true)
+- edge_high (0-255, when edge_detect=true)
+
+Expose VTracer-specific params for color/grayscale modes:
+- color_precision (1-8) — fewer bits = fewer colors/gray levels
+- layer_difference (0-128) — threshold for layer grouping
+- hierarchical ('stacked'/'cutout')
+- length_threshold (0.0-20.0)
+- splice_threshold (0-180)
+- max_iterations (1-20)
+
+Expose Potrace-specific param:
+- turnpolicy (minority/majority/black/white/left/right) — how ambiguities are resolved
+- opttolerance (0.0-2.0) — curve optimization tolerance
+
+Write tests for: B&W mode produces binary SVG, grayscale mode produces multi-gray SVG, color mode produces multi-color SVG, invert flips B&W output, color_precision slider reduces path count at lower values, threshold_manual overrides Otsu, morphological params change output.
+
+## Inputs
+
+- `engine/pipeline/preprocessing.py`
+- `engine/pipeline/vectorize.py`
+- `engine/api/routes.py`
+- `engine/presets/loader.py`
+
+## Expected Output
+
+- `engine/pipeline/preprocessing.py with conversion_mode support`
+- `engine/pipeline/vectorize.py unchanged (already supports all params)`
+- `engine/api/routes.py with new form params`
+- `engine/tests/test_modes.py with mode/invert/slider tests`
+
+## Verification
+
+cd engine && .venv/bin/python -m pytest tests/test_modes.py -v -W ignore::DeprecationWarning — all tests pass

.gsd/milestones/M004/slices/S01/tasks/T01-SUMMARY.md

@@ -0,0 +1,86 @@
+---
+id: T01
+parent: S01
+milestone: M004
+provides: []
+requires: []
+affects: []
+key_files: ["engine/pipeline/preprocessing.py", "engine/pipeline/vectorize.py", "engine/api/routes.py", "engine/tests/test_modes.py"]
+key_decisions: ["Three conversion modes (bw/grayscale/color) with mode-dependent preprocessing pipeline branches", "Invert applied after threshold in B&W mode only (cv2.bitwise_not)", "Color/grayscale modes force VTracer (potrace can't handle non-binary)", "VTracer colormode set to 'color' for both grayscale and color conversion modes (VTracer quantizes internally)", "Mask regions applied early — after decode, before any color conversion", "turnpolicy exposed as string param mapped to potrace constants"]
+patterns_established: []
+drill_down_paths: []
+observability_surfaces: []
+duration: ""
+verification_result: "cd engine && .venv/bin/python -m pytest tests/test_modes.py -v — 27/27 pass. Full engine suite: 234/234 pass."
+completed_at: 2026-03-26T08:39:27.838Z
+blocker_discovered: false
+---
+
+# T01: Engine supports B&W/grayscale/color conversion modes, invert, mask regions, turnpolicy, and all previously-hidden preprocessing params — 27 new tests, 234 total pass
+
+> Engine supports B&W/grayscale/color conversion modes, invert, mask regions, turnpolicy, and all previously-hidden preprocessing params — 27 new tests, 234 total pass
+
+## What Happened
+---
+id: T01
+parent: S01
+milestone: M004
+key_files:
+  - engine/pipeline/preprocessing.py
+  - engine/pipeline/vectorize.py
+  - engine/api/routes.py
+  - engine/tests/test_modes.py
+key_decisions:
+  - Three conversion modes (bw/grayscale/color) with mode-dependent preprocessing pipeline branches
+  - Invert applied after threshold in B&W mode only (cv2.bitwise_not)
+  - Color/grayscale modes force VTracer (potrace can't handle non-binary)
+  - VTracer colormode set to 'color' for both grayscale and color conversion modes (VTracer quantizes internally)
+  - Mask regions applied early — after decode, before any color conversion
+  - turnpolicy exposed as string param mapped to potrace constants
+duration: ""
+verification_result: passed
+completed_at: 2026-03-26T08:39:27.848Z
+blocker_discovered: false
+---
+
+# T01: Engine supports B&W/grayscale/color conversion modes, invert, mask regions, turnpolicy, and all previously-hidden preprocessing params — 27 new tests, 234 total pass
+
+**Engine supports B&W/grayscale/color conversion modes, invert, mask regions, turnpolicy, and all previously-hidden preprocessing params — 27 new tests, 234 total pass**
+
+## What Happened
+
+Refactored the engine preprocessing pipeline to support three conversion modes. B&W (default) runs the full pipeline: grayscale → denoise → contrast → threshold → invert → edge detect → morphological. Grayscale skips threshold and morphological, returning 8-bit grayscale for VTracer. Color skips grayscale conversion entirely, denoising the BGR image directly. Added invert support via cv2.bitwise_not() after threshold in B&W mode. Added mask_regions support that zeros rectangular regions to white before any processing. Updated routes.py to extract conversion_mode, invert, and mask_regions from params, force VTracer for non-binary modes, and set VTracer colormode appropriately. Added turnpolicy param to potrace_trace(). 27 new tests cover all modes, invert, masks, threshold, morphological, edge detection, color precision, turnpolicy, opttolerance, hierarchical modes, and splice/length thresholds.
+
+## Verification
+
+cd engine && .venv/bin/python -m pytest tests/test_modes.py -v — 27/27 pass. Full engine suite: 234/234 pass.
+
+## Verification Evidence
+
+| # | Command | Exit Code | Verdict | Duration |
+|---|---------|-----------|---------|----------|
+| 1 | `cd engine && .venv/bin/python -m pytest tests/test_modes.py -v -W ignore::DeprecationWarning` | 0 | ✅ pass | 220ms |
+| 2 | `cd engine && .venv/bin/python -m pytest tests/ -v -W ignore::DeprecationWarning` | 0 | ✅ pass | 1130ms |
+
+
+## Deviations
+
+Added mask_regions support to preprocessing.py (planned for S03 but natural to implement here alongside conversion_mode). Added turnpolicy to potrace_trace() beyond just routes.py wiring.
+
+## Known Issues
+
+None.
+
+## Files Created/Modified
+
+- `engine/pipeline/preprocessing.py`
+- `engine/pipeline/vectorize.py`
+- `engine/api/routes.py`
+- `engine/tests/test_modes.py`
+
+
+## Deviations
+Added mask_regions support to preprocessing.py (planned for S03 but natural to implement here alongside conversion_mode). Added turnpolicy to potrace_trace() beyond just routes.py wiring.
+
+## Known Issues
+None.

.gsd/milestones/M004/slices/S01/tasks/T02-PLAN.md

@@ -0,0 +1,72 @@
+---
+estimated_steps: 35
+estimated_files: 5
+skills_used: []
+---
+
+# T02: App: Mode Selector + Invert Toggle + Expanded Slider UI
+
+Rewrite ParameterSliders to show mode-appropriate sliders. The mode selector and invert toggle are new top-level controls in ImportConvert.
+
+**New controls in ImportConvert.tsx:**
+- Conversion Mode selector (segmented/tab control): B&W | Grayscale | Color
+- Invert toggle (checkbox/switch, B&W mode only)
+
+**ParameterSliders changes — mode-aware slider groups:**
+
+All modes:
+- Detail Level (epsilon: 0.1-20, step 0.1) — widened from 0.5-10
+
+B&W + Potrace:
+- Noise Filter (turdsize: 0-200, step 1) — widened from 0-50
+- Curve Smoothing (alphamax: 0-1.334, step 0.01) — finer step
+- Curve Optimize (opttolerance: 0-2.0, step 0.05) — NEW
+- Turn Policy (turnpolicy: dropdown) — NEW
+- Threshold (threshold_manual: 0-255, step 1) — NEW, with 'Auto' toggle for Otsu
+- Dilate (morph_dilate_iterations: 0-10, step 1) — NEW, widened
+- Erode (morph_erode_iterations: 0-10, step 1) — NEW, widened
+- Edge Detect (edge_detect: toggle) — NEW
+- Edge Low/High (0-255, shown when edge_detect on) — NEW
+
+B&W + VTracer:
+- Noise Filter (filter_speckle: 0-200, step 1) — widened
+- Corner Threshold (corner_threshold: 0-180, step 1)
+- Length Threshold (length_threshold: 0-20, step 0.5) — NEW
+- Splice Threshold (splice_threshold: 0-180, step 1) — NEW
+- Threshold / Dilate / Erode / Edge (same as potrace B&W)
+
+Grayscale mode (VTracer only):
+- Color Precision (color_precision: 1-8, step 1) — controls gray levels
+- Layer Difference (layer_difference: 0-128, step 1) — NEW
+- Noise Filter, Corner Threshold, Length Threshold, Splice Threshold
+
+Color mode (VTracer only):
+- Color Precision (color_precision: 1-8, step 1) — controls color count
+- Layer Difference (layer_difference: 0-128, step 1) — NEW
+- Hierarchical (hierarchical: 'stacked'/'cutout' toggle) — NEW
+- Noise Filter, Corner Threshold, Length Threshold, Splice Threshold
+
+Update useDebouncedTrace to pass conversion_mode and invert as part of the params object sent to traceImage(). Update traceImage() in engine.ts to include these in the FormData.
+
+Update default params logic: when user switches mode, reset sliders to mode-appropriate defaults from preset config.
+
+Add slider group labels/sections for visual organization (Preprocessing | Vectorization | Post-processing).
+
+## Inputs
+
+- `app/src/views/ImportConvert.tsx`
+- `app/src/components/ParameterSliders.tsx`
+- `app/src/api/engine.ts`
+- `app/src/hooks/useDebouncedTrace.ts`
+- `app/src/App.css`
+
+## Expected Output
+
+- `app/src/views/ImportConvert.tsx with mode selector + invert`
+- `app/src/components/ParameterSliders.tsx with 10+ mode-aware sliders`
+- `app/src/api/engine.ts updated to send conversion_mode/invert`
+- `app/src/types/engine.ts with updated type definitions`
+
+## Verification
+
+npx tsc -b --noEmit exits 0 && npx vitest run passes all tests

.gsd/milestones/M004/slices/S01/tasks/T02-SUMMARY.md

@@ -0,0 +1,88 @@
+---
+id: T02
+parent: S01
+milestone: M004
+provides: []
+requires: []
+affects: []
+key_files: ["app/src/components/ParameterSliders.tsx", "app/src/views/ImportConvert.tsx", "app/src/views/ImportConvert.module.css", "app/src/types/engine.ts", "app/src/App.css"]
+key_decisions: ["Mode selector as segmented tab control (B&W | Grayscale | Color) rather than dropdown", "Invert toggle only visible in B&W mode", "Sliders organized in groups (Preprocessing / Vectorization / Output) with section labels", "Edge detection low/high sliders hidden when edge detect toggle is off", "Select controls for turnpolicy and hierarchical mode instead of sliders", "Preview background set to white (#ffffff) in ImportConvert.module.css"]
+patterns_established: []
+drill_down_paths: []
+observability_surfaces: []
+duration: ""
+verification_result: "npx tsc -b --noEmit exits 0. npx vitest run — 126/126 pass."
+completed_at: 2026-03-26T08:39:45.658Z
+blocker_discovered: false
+---
+
+# T02: Mode selector (B&W/Grayscale/Color), invert toggle, and 10+ mode-aware sliders with grouped sections — TypeScript clean, 126 tests pass
+
+> Mode selector (B&W/Grayscale/Color), invert toggle, and 10+ mode-aware sliders with grouped sections — TypeScript clean, 126 tests pass
+
+## What Happened
+---
+id: T02
+parent: S01
+milestone: M004
+key_files:
+  - app/src/components/ParameterSliders.tsx
+  - app/src/views/ImportConvert.tsx
+  - app/src/views/ImportConvert.module.css
+  - app/src/types/engine.ts
+  - app/src/App.css
+key_decisions:
+  - Mode selector as segmented tab control (B&W | Grayscale | Color) rather than dropdown
+  - Invert toggle only visible in B&W mode
+  - Sliders organized in groups (Preprocessing / Vectorization / Output) with section labels
+  - Edge detection low/high sliders hidden when edge detect toggle is off
+  - Select controls for turnpolicy and hierarchical mode instead of sliders
+  - Preview background set to white (#ffffff) in ImportConvert.module.css
+duration: ""
+verification_result: passed
+completed_at: 2026-03-26T08:39:45.668Z
+blocker_discovered: false
+---
+
+# T02: Mode selector (B&W/Grayscale/Color), invert toggle, and 10+ mode-aware sliders with grouped sections — TypeScript clean, 126 tests pass
+
+**Mode selector (B&W/Grayscale/Color), invert toggle, and 10+ mode-aware sliders with grouped sections — TypeScript clean, 126 tests pass**
+
+## What Happened
+
+Rewrote ParameterSliders as a mode-aware control panel. B&W+Potrace shows 8 controls (path simplification, threshold, dilate, erode, morph brush, noise filter, curve smoothing, curve optimize, turn policy). B&W+VTracer shows 9 controls. Grayscale shows 7 controls including gray levels and layer separation. Color shows 8 controls including color depth, layer separation, and layer mode. All modes share path simplification. Edge detection toggle conditionally reveals edge low/high sliders. Added ConversionMode type, mode selector tabs, invert toggle, and slider group labels with section headers. Updated ImportConvert with mode state, invert state, mode-aware default params, and reduced debounce from 300ms to 100ms. Set preview background to white.
+
+## Verification
+
+npx tsc -b --noEmit exits 0. npx vitest run — 126/126 pass.
+
+## Verification Evidence
+
+| # | Command | Exit Code | Verdict | Duration |
+|---|---------|-----------|---------|----------|
+| 1 | `npx tsc -b --noEmit` | 0 | ✅ pass | 3200ms |
+| 2 | `npx vitest run` | 0 | ✅ pass | 2570ms |
+
+
+## Deviations
+
+Added ConversionMode type to engine.ts types. Added Use This button directly in ImportConvert (OutputInfoBar doesn't have onUseThis prop). White background applied to ImportConvert.module.css main panel (originally planned for S03 but trivial and natural here). Debounce reduced from 300ms to 100ms (originally S02 scope but one-line change).
+
+## Known Issues
+
+None.
+
+## Files Created/Modified
+
+- `app/src/components/ParameterSliders.tsx`
+- `app/src/views/ImportConvert.tsx`
+- `app/src/views/ImportConvert.module.css`
+- `app/src/types/engine.ts`
+- `app/src/App.css`
+
+
+## Deviations
+Added ConversionMode type to engine.ts types. Added Use This button directly in ImportConvert (OutputInfoBar doesn't have onUseThis prop). White background applied to ImportConvert.module.css main panel (originally planned for S03 but trivial and natural here). Debounce reduced from 300ms to 100ms (originally S02 scope but one-line change).
+
+## Known Issues
+None.

.gsd/milestones/M004/slices/S01/tasks/T03-PLAN.md

@@ -0,0 +1,31 @@
+---
+estimated_steps: 8
+estimated_files: 5
+skills_used: []
+---
+
+# T03: Integration: Preset Defaults + End-to-End Wiring
+
+End-to-end integration verification. Ensure:
+1. Each conversion mode sends correct params to engine and receives valid SVG
+2. Mode switching resets sliders appropriately
+3. Invert toggle sends invert=true and engine applies it
+4. New sliders (threshold, morph, edge, color_precision, etc.) pass values through and affect output
+5. Existing preset selection still works — presets provide defaults for new params
+6. Update preset JSON files to include sensible defaults for new params (conversion_mode, turnpolicy, etc.)
+
+Run full test suite from root. Fix any regressions.
+
+## Inputs
+
+- `engine/presets/*.json`
+- `engine/api/routes.py`
+
+## Expected Output
+
+- `Updated preset JSON files with new param defaults`
+- `All tests passing from root`
+
+## Verification
+
+npx tsc -b --noEmit && npx vitest run && cd engine && .venv/bin/python -m pytest tests/ -v -W ignore::DeprecationWarning — all pass

.gsd/milestones/M004/slices/S01/tasks/T03-SUMMARY.md

@@ -0,0 +1,84 @@
+---
+id: T03
+parent: S01
+milestone: M004
+provides: []
+requires: []
+affects: []
+key_files: ["engine/presets/sign.json", "engine/presets/patch.json", "engine/presets/stencil.json", "engine/presets/detailed.json", "engine/presets/custom.json"]
+key_decisions: ["Custom preset stays empty (no preset defaults) to maintain its 'all params exposed' contract", "sign/patch: turnpolicy=minority (best general-purpose); stencil: turnpolicy=majority (connects majority-color components for cleaner stencil cuts)", "detailed: color_precision=8, layer_difference=8 (high fidelity); stencil: color_precision=4, layer_difference=24 (coarse for clean cuts)"]
+patterns_established: []
+drill_down_paths: []
+observability_surfaces: []
+duration: ""
+verification_result: "Full suite: npx tsc -b --noEmit (0), npx vitest run (126/126), engine pytest (234/234)."
+completed_at: 2026-03-26T08:41:11.220Z
+blocker_discovered: false
+---
+
+# T03: Updated preset JSON files with new param defaults (turnpolicy, color_precision, layer_difference) — 360 total tests pass, zero regressions
+
+> Updated preset JSON files with new param defaults (turnpolicy, color_precision, layer_difference) — 360 total tests pass, zero regressions
+
+## What Happened
+---
+id: T03
+parent: S01
+milestone: M004
+key_files:
+  - engine/presets/sign.json
+  - engine/presets/patch.json
+  - engine/presets/stencil.json
+  - engine/presets/detailed.json
+  - engine/presets/custom.json
+key_decisions:
+  - Custom preset stays empty (no preset defaults) to maintain its 'all params exposed' contract
+  - sign/patch: turnpolicy=minority (best general-purpose); stencil: turnpolicy=majority (connects majority-color components for cleaner stencil cuts)
+  - detailed: color_precision=8, layer_difference=8 (high fidelity); stencil: color_precision=4, layer_difference=24 (coarse for clean cuts)
+duration: ""
+verification_result: passed
+completed_at: 2026-03-26T08:41:11.229Z
+blocker_discovered: false
+---
+
+# T03: Updated preset JSON files with new param defaults (turnpolicy, color_precision, layer_difference) — 360 total tests pass, zero regressions
+
+**Updated preset JSON files with new param defaults (turnpolicy, color_precision, layer_difference) — 360 total tests pass, zero regressions**
+
+## What Happened
+
+Updated 4 preset JSON files (sign, patch, stencil, detailed) with turnpolicy, color_precision, layer_difference, and max_iterations defaults. Custom preset intentionally kept empty to preserve its 'no defaults' contract. Ran full test suite — 234 engine tests + 126 app tests = 360 total, all pass. TypeScript compiles clean.
+
+## Verification
+
+Full suite: npx tsc -b --noEmit (0), npx vitest run (126/126), engine pytest (234/234).
+
+## Verification Evidence
+
+| # | Command | Exit Code | Verdict | Duration |
+|---|---------|-----------|---------|----------|
+| 1 | `npx tsc -b --noEmit && npx vitest run && cd engine && .venv/bin/python -m pytest tests/ -W ignore::DeprecationWarning` | 0 | ✅ pass | 6500ms |
+
+
+## Deviations
+
+Custom preset kept empty (no new defaults added) to preserve existing test contract. Other 4 presets got turnpolicy and color_precision/layer_difference/max_iterations defaults.
+
+## Known Issues
+
+None.
+
+## Files Created/Modified
+
+- `engine/presets/sign.json`
+- `engine/presets/patch.json`
+- `engine/presets/stencil.json`
+- `engine/presets/detailed.json`
+- `engine/presets/custom.json`
+
+
+## Deviations
+Custom preset kept empty (no new defaults added) to preserve existing test contract. Other 4 presets got turnpolicy and color_precision/layer_difference/max_iterations defaults.
+
+## Known Issues
+None.

.gsd/milestones/M004/slices/S02/S02-PLAN.md

@@ -0,0 +1,6 @@
+# S02: Responsive Preview + Latency Reduction
+
+**Goal:** Reduce perceived latency: drop debounce to 100ms, abort stale requests aggressively, show optimistic last-result during loading, add processing time indicator
+**Demo:** After this: Drag any slider — preview updates near-instantly. During loading, previous result stays visible at reduced opacity. Processing time shown.
+
+## Tasks

.gsd/milestones/M004/slices/S03/S03-PLAN.md

@@ -0,0 +1,6 @@
+# S03: Cutout Tool + White Background
+
+**Goal:** Add rectangular region masking to exclude areas from vectorization, fix preview background to white
+**Demo:** After this: Upload image. Draw rectangle(s) on the preview to mark exclusion zones. Vectorization output omits masked regions. Preview has white background.
+
+## Tasks

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