VSCode .NET Core Debugging seems to ignore working directory

Question

Recently, debugging has broken for my ASP.NET Core, C# solution.

VSCode 1.65.0 and C# extension v1.24.1

I get this message.

> Executing task in folder src: dotnet build /property:GenerateFullPaths=true /consoleloggerparameters:NoSummary <

Microsoft (R) Build Engine version 17.0.0+c9eb9dd64 for .NET
Copyright (C) Microsoft Corporation. All rights reserved.

MSBUILD : error MSB1011: Specify which project or solution file to use because this folder contains more than one project or solution file.
The terminal process "/bin/zsh '-c', 'dotnet build /property:GenerateFullPaths=true /consoleloggerparameters:NoSummary'" terminated with exit code: 1.

Terminal will be reused by tasks, press any key to close it.

The debugger configuration selector looks like this:

I am trying to run the ticked item, i.e. "Debug TZ Naked (src)" - note that TZ is a code for my app and "naked" means not-in-Docker.

The configuration looks like this:

{
    "name": "Debug TZ Naked",
    "type": "coreclr",
    "request": "launch",
    "preLaunchTask": "build",
    "program": "${workspaceFolder}/AcmeCorp.CoyoteApp.AspNetCoreMvc/bin/Debug/net6.0/AcmeCorp.CoyoteApp.AspNetCoreMvc.dll",
    "args": [],
    "cwd": "${workspaceFolder}/AcmeCorp.CoyoteApp.AspNetCoreMvc",
    "stopAtEntry": false,
    "internalConsoleOptions": "openOnSessionStart",
    "launchBrowser": {
        "enabled": true,
        "args": "${auto-detect-url}",
        "windows": {
            "command": "cmd.exe",
            "args": "/C start ${auto-detect-url}"
        },
        "osx": {
            "command": "open",
            "args": "https://localhost:44340"
        },
        "linux": {
            "command": "xdg-open"
        }
    },
    "env": {
        "ASPNETCORE_ENVIRONMENT": "Development"
    },
    "sourceFileMap": {
        "/Views": "${workspaceFolder}/Views"
    }
},

Note that the cwd key is set to the correct value, as is relative to my workspace. I've not renamed any folders or moved my workspace for months.

I have a build task here:

    {
        "label": "build",
        "type": "process",
        "command": "dotnet",
        "options": {
            "cwd": "${workspaceFolder}/AcmeCorp.CoyoteApp.AspNetCoreMvc"
        },
        "args": [
            "build",
            "${workspaceFolder}/AcmeCorp.CoyoteApp.AspNetCoreMvc/AcmeCorp.CoyoteApp.AspNetCoreMvc.csproj"
        ],
        "problemMatcher": "$msCompile"
    },

I'm not sure why it's stopped working. I've restarted VSCode just in case, and I've switch the working directory of open terminals to no avail.