docs: add FAQ entry about assigning in a private repo (#218)

* fixed file ingestion

* working binary files

* added replaced baseUrl

* fix: add type assertion for GitHub blob API response

Fixes TypeScript error where blobData was of type 'unknown' by adding
proper type assertion for the blob creation response.

🤖 Generated with [Claude Code](https://claude.ai/code)

Co-Authored-By: Andrew Grosser <dioptre@gmail.com>
Co-Authored-By: Claude <noreply@anthropic.com>

---------

Co-authored-by: Andrew Grosser <dioptre@gmail.com>
Co-authored-by: Claude <noreply@anthropic.com>

.github/workflows/issue-triage.yml

@@ -32,7 +32,7 @@ jobs:
                   "--rm",
                   "-e",
                   "GITHUB_PERSONAL_ACCESS_TOKEN",
-                  "ghcr.io/github/github-mcp-server:sha-7aced2b"
+                  "ghcr.io/github/github-mcp-server:sha-6d69797"
                 ],
                 "env": {
                   "GITHUB_PERSONAL_ACCESS_TOKEN": "${{ secrets.GITHUB_TOKEN }}"

.github/workflows/release.yml

@@ -0,0 +1,138 @@
+name: Create Release
+
+on:
+  workflow_dispatch:
+    inputs:
+      dry_run:
+        description: "Dry run (only show what would be created)"
+        required: false
+        type: boolean
+        default: false
+
+jobs:
+  create-release:
+    runs-on: ubuntu-latest
+    permissions:
+      contents: write
+    outputs:
+      next_version: ${{ steps.next_version.outputs.next_version }}
+    steps:
+      - name: Checkout code
+        uses: actions/checkout@v4
+        with:
+          fetch-depth: 0
+
+      - name: Get latest tag
+        id: get_latest_tag
+        run: |
+          # Get only version tags (v + number pattern)
+          latest_tag=$(git tag -l 'v[0-9]*' | sort -V | tail -1 || echo "v0.0.0")
+          if [ -z "$latest_tag" ]; then
+            latest_tag="v0.0.0"
+          fi
+          echo "latest_tag=$latest_tag" >> $GITHUB_OUTPUT
+          echo "Latest tag: $latest_tag"
+
+      - name: Calculate next version
+        id: next_version
+        run: |
+          latest_tag="${{ steps.get_latest_tag.outputs.latest_tag }}"
+          # Remove 'v' prefix and split by dots
+          version=${latest_tag#v}
+          IFS='.' read -ra VERSION_PARTS <<< "$version"
+
+          # Increment patch version
+          major=${VERSION_PARTS[0]:-0}
+          minor=${VERSION_PARTS[1]:-0}
+          patch=${VERSION_PARTS[2]:-0}
+          patch=$((patch + 1))
+
+          next_version="v${major}.${minor}.${patch}"
+          echo "next_version=$next_version" >> $GITHUB_OUTPUT
+          echo "Next version: $next_version"
+
+      - name: Display dry run info
+        if: ${{ inputs.dry_run }}
+        run: |
+          echo "🔍 DRY RUN MODE"
+          echo "Would create tag: ${{ steps.next_version.outputs.next_version }}"
+          echo "From commit: ${{ github.sha }}"
+          echo "Previous tag: ${{ steps.get_latest_tag.outputs.latest_tag }}"
+
+      - name: Create and push tag
+        if: ${{ !inputs.dry_run }}
+        run: |
+          next_version="${{ steps.next_version.outputs.next_version }}"
+          git config user.name "github-actions[bot]"
+          git config user.email "github-actions[bot]@users.noreply.github.com"
+
+          git tag -a "$next_version" -m "Release $next_version"
+          git push origin "$next_version"
+
+      - name: Create Release
+        if: ${{ !inputs.dry_run }}
+        env:
+          GH_TOKEN: ${{ github.token }}
+        run: |
+          next_version="${{ steps.next_version.outputs.next_version }}"
+
+          gh release create "$next_version" \
+            --title "$next_version" \
+            --generate-notes \
+            --latest=false # We want to keep beta as the latest
+
+  update-beta-tag:
+    needs: create-release
+    if: ${{ !inputs.dry_run }}
+    runs-on: ubuntu-latest
+    permissions:
+      contents: write
+    steps:
+      - name: Checkout code
+        uses: actions/checkout@v4
+        with:
+          fetch-depth: 0
+
+      - name: Update beta tag
+        run: |
+          # Get the latest version tag
+          VERSION=$(git tag -l 'v[0-9]*' | sort -V | tail -1)
+
+          # Update the beta tag to point to this release
+          git config user.name "github-actions[bot]"
+          git config user.email "github-actions[bot]@users.noreply.github.com"
+          git tag -fa beta -m "Update beta tag to ${VERSION}"
+          git push origin beta --force
+
+      - name: Update beta release to be latest
+        env:
+          GH_TOKEN: ${{ github.token }}
+        run: |
+          # Update beta release to be marked as latest
+          gh release edit beta --latest
+
+  update-major-tag:
+    needs: create-release
+    if: ${{ !inputs.dry_run }}
+    runs-on: ubuntu-latest
+    permissions:
+      contents: write
+    steps:
+      - name: Checkout code
+        uses: actions/checkout@v4
+        with:
+          fetch-depth: 0
+
+      - name: Update major version tag
+        run: |
+          next_version="${{ needs.create-release.outputs.next_version }}"
+          # Extract major version (e.g., v0 from v0.0.20)
+          major_version=$(echo "$next_version" | cut -d. -f1)
+
+          # Update the major version tag to point to this release
+          git config user.name "github-actions[bot]"
+          git config user.email "github-actions[bot]@users.noreply.github.com"
+          git tag -fa "$major_version" -m "Update $major_version tag to $next_version"
+          git push origin "$major_version" --force
+
+          echo "Updated $major_version tag to point to $next_version"

CONTRIBUTING.md

@@ -50,20 +50,6 @@ Thank you for your interest in contributing to Claude Code Action! This document
    bun test
    ```
 
-2. **Integration Tests** (using GitHub Actions locally):
-
-   ```bash
-   ./test-local.sh
-   ```
-
-   This script:
-
-   - Installs `act` if not present (requires Homebrew on macOS)
-   - Runs the GitHub Action workflow locally using Docker
-   - Requires your `ANTHROPIC_API_KEY` to be set
-
-   On Apple Silicon Macs, the script automatically adds the `--container-architecture linux/amd64` flag to avoid compatibility issues.
-
 ## Pull Request Process
 
 1. Create a new branch from `main`:
@@ -103,13 +89,7 @@ Thank you for your interest in contributing to Claude Code Action! This document
 
 When modifying the action:
 
-1. Test locally with the test script:
+1. Test in a real GitHub Actions workflow by:
-
-   ```bash
-   ./test-local.sh
-   ```
-
-2. Test in a real GitHub Actions workflow by:
    - Creating a test repository
    - Using your branch as the action source:
      ```yaml

FAQ.md

@@ -12,6 +12,10 @@ The `github-actions` user cannot trigger subsequent GitHub Actions workflows. Th
 
 Only users with **write permissions** to the repository can trigger Claude. This is a security feature to prevent unauthorized use. Make sure the user commenting has at least write access to the repository.
 
+### Why can't I assign @claude to an issue on my repository?
+
+If you're in a public repository, you should be able to assign to Claude without issue. If it's a private organization repository, you can only assign to users in your own organization, which Claude isn't. In this case, you'll need to make a custom user in that case.
+
 ### Why am I getting OIDC authentication errors?
 
 If you're using the default GitHub App authentication, you must add the `id-token: write` permission to your workflow:

README.md

@@ -49,7 +49,7 @@ on:
   pull_request_review_comment:
     types: [created]
   issues:
-    types: [opened, assigned]
+    types: [opened, assigned, labeled]
   pull_request_review:
     types: [submitted]
 
@@ -65,6 +65,8 @@ jobs:
           # trigger_phrase: "/claude"
           # Optional: add assignee trigger for issues
           # assignee_trigger: "claude"
+          # Optional: add label trigger for issues
+          # label_trigger: "claude"
           # Optional: add custom environment variables (YAML format)
           # claude_env: |
           #   NODE_ENV: test
@@ -80,6 +82,7 @@ jobs:
 | --------------------- | -------------------------------------------------------------------------------------------------------------------- | -------- | --------- |
 | `anthropic_api_key`   | Anthropic API key (required for direct API, not needed for Bedrock/Vertex)                                           | No\*     | -         |
 | `direct_prompt`       | Direct prompt for Claude to execute automatically without needing a trigger (for automated workflows)                | No       | -         |
+| `base_branch`         | The base branch to use for creating new branches (e.g., 'main', 'develop')                                           | No       | -         |
 | `max_turns`           | Maximum number of conversation turns Claude can take (limits back-and-forth exchanges)                               | No       | -         |
 | `timeout_minutes`     | Timeout in minutes for execution                                                                                     | No       | `30`      |
 | `github_token`        | GitHub token for Claude to operate with. **Only include this if you're connecting a custom GitHub app of your own!** | No       | -         |
@@ -92,7 +95,9 @@ jobs:
 | `custom_instructions` | Additional custom instructions to include in the prompt for Claude                                                   | No       | ""        |
 | `mcp_config`          | Additional MCP configuration (JSON string) that merges with the built-in GitHub MCP servers                          | No       | ""        |
 | `assignee_trigger`    | The assignee username that triggers the action (e.g. @claude). Only used for issue assignment                        | No       | -         |
+| `label_trigger`       | The label name that triggers the action when applied to an issue (e.g. "claude")                                     | No       | -         |
 | `trigger_phrase`      | The trigger phrase to look for in comments, issue/PR bodies, and issue titles                                        | No       | `@claude` |
+| `branch_prefix`       | The prefix to use for Claude branches (defaults to 'claude/', use 'claude-' for dash format)                         | No       | `claude/` |
 | `claude_env`          | Custom environment variables to pass to Claude Code execution (YAML format)                                          | No       | ""        |
 
 \*Required when using direct Anthropic API (default and when not using Bedrock or Vertex)
@@ -149,6 +154,40 @@ For MCP servers that require sensitive information like API keys or tokens, use
     # ... other inputs
 ```
 
+#### Using Python MCP Servers with uv
+
+For Python-based MCP servers managed with `uv`, you need to specify the directory containing your server:
+
+```yaml
+- uses: anthropics/claude-code-action@beta
+  with:
+    anthropic_api_key: ${{ secrets.ANTHROPIC_API_KEY }}
+    mcp_config: |
+      {
+        "mcpServers": {
+          "my-python-server": {
+            "type": "stdio",
+            "command": "uv",
+            "args": [
+              "--directory",
+              "${{ github.workspace }}/path/to/server/",
+              "run",
+              "server_file.py"
+            ]
+          }
+        }
+      }
+    allowed_tools: "my-python-server__<tool_name>" # Replace <tool_name> with your server's tool names
+    # ... other inputs
+```
+
+For example, if your Python MCP server is at `mcp_servers/weather.py`, you would use:
+
+```yaml
+"args":
+  ["--directory", "${{ github.workspace }}/mcp_servers/", "run", "weather.py"]
+```
+
 **Important**:
 
 - Always use GitHub Secrets (`${{ secrets.SECRET_NAME }}`) for sensitive values like API keys, tokens, or passwords. Never hardcode secrets directly in the workflow file.
@@ -347,8 +386,15 @@ Claude does **not** have access to execute arbitrary Bash commands by default. I
 ```yaml
 - uses: anthropics/claude-code-action@beta
   with:
-    allowed_tools: "Bash(npm install),Bash(npm run test),Edit,Replace,NotebookEditCell"
+    allowed_tools: |
-    disallowed_tools: "TaskOutput,KillTask"
+      Bash(npm install)
+      Bash(npm run test)
+      Edit
+      Replace
+      NotebookEditCell
+    disallowed_tools: |
+      TaskOutput
+      KillTask
     # ... other inputs
 ```
 

action.yml

@@ -12,9 +12,17 @@ inputs:
   assignee_trigger:
     description: "The assignee username that triggers the action (e.g. @claude)"
     required: false
+  label_trigger:
+    description: "The label that triggers the action (e.g. claude)"
+    required: false
+    default: "claude"
   base_branch:
     description: "The branch to use as the base/source when creating new branches (defaults to repository default branch)"
     required: false
+  branch_prefix:
+    description: "The prefix to use for Claude branches (defaults to 'claude/', use 'claude-' for dash format)"
+    required: false
+    default: "claude/"
 
   # Claude Code configuration
   model:
@@ -98,7 +106,9 @@ runs:
       env:
         TRIGGER_PHRASE: ${{ inputs.trigger_phrase }}
         ASSIGNEE_TRIGGER: ${{ inputs.assignee_trigger }}
+        LABEL_TRIGGER: ${{ inputs.label_trigger }}
         BASE_BRANCH: ${{ inputs.base_branch }}
+        BRANCH_PREFIX: ${{ inputs.branch_prefix }}
         ALLOWED_TOOLS: ${{ inputs.allowed_tools }}
         DISALLOWED_TOOLS: ${{ inputs.disallowed_tools }}
         CUSTOM_INSTRUCTIONS: ${{ inputs.custom_instructions }}
@@ -110,7 +120,7 @@ runs:
     - name: Run Claude Code
       id: claude-code
       if: steps.prepare.outputs.contains_trigger == 'true'
-      uses: anthropics/claude-code-base-action@ebd8558e902b3db132e89863de49565fcb9aec46 # v0.0.19
+      uses: anthropics/claude-code-base-action@f6ef8c1000c0197b625af70349f68cb212e34fc1 # v0.0.28
       with:
         prompt_file: ${{ runner.temp }}/claude-prompts/claude-prompt.txt
         allowed_tools: ${{ env.ALLOWED_TOOLS }}

src/create-prompt/index.ts

@@ -81,6 +81,7 @@ export function prepareContext(
   const eventAction = context.eventAction;
   const triggerPhrase = context.inputs.triggerPhrase || "@claude";
   const assigneeTrigger = context.inputs.assigneeTrigger;
+  const labelTrigger = context.inputs.labelTrigger;
   const customInstructions = context.inputs.customInstructions;
   const allowedTools = context.inputs.allowedTools;
   const disallowedTools = context.inputs.disallowedTools;
@@ -242,7 +243,7 @@ export function prepareContext(
       }
 
       if (eventAction === "assigned") {
-        if (!assigneeTrigger) {
+        if (!assigneeTrigger && !directPrompt) {
           throw new Error(
             "ASSIGNEE_TRIGGER is required for issue assigned event",
           );
@@ -254,7 +255,20 @@ export function prepareContext(
           issueNumber,
           baseBranch,
           claudeBranch,
-          assigneeTrigger,
+          ...(assigneeTrigger && { assigneeTrigger }),
+        };
+      } else if (eventAction === "labeled") {
+        if (!labelTrigger) {
+          throw new Error("LABEL_TRIGGER is required for issue labeled event");
+        }
+        eventData = {
+          eventName: "issues",
+          eventAction: "labeled",
+          isPR: false,
+          issueNumber,
+          baseBranch,
+          claudeBranch,
+          labelTrigger,
         };
       } else if (eventAction === "opened") {
         eventData = {
@@ -328,10 +342,17 @@ export function getEventTypeAndContext(envVars: PreparedContext): {
           eventType: "ISSUE_CREATED",
           triggerContext: `new issue with '${envVars.triggerPhrase}' in body`,
         };
+      } else if (eventData.eventAction === "labeled") {
+        return {
+          eventType: "ISSUE_LABELED",
+          triggerContext: `issue labeled with '${eventData.labelTrigger}'`,
+        };
       }
       return {
         eventType: "ISSUE_ASSIGNED",
-        triggerContext: `issue assigned to '${eventData.assigneeTrigger}'`,
+        triggerContext: eventData.assigneeTrigger
+          ? `issue assigned to '${eventData.assigneeTrigger}'`
+          : `issue assigned event`,
       };
 
     case "pull_request":
@@ -465,6 +486,7 @@ Follow these steps:
    - Analyze the pre-fetched data provided above.
    - For ISSUE_CREATED: Read the issue body to find the request after the trigger phrase.
    - For ISSUE_ASSIGNED: Read the entire issue body to understand the task.
+   - For ISSUE_LABELED: Read the entire issue body to understand the task.
 ${eventData.eventName === "issue_comment" || eventData.eventName === "pull_request_review_comment" || eventData.eventName === "pull_request_review" ? `   - For comment/review events: Your instructions are in the <trigger_comment> tag above.` : ""}
 ${context.directPrompt ? `   - DIRECT INSTRUCTION: A direct instruction was provided and is shown in the <direct_prompt> tag above. This is not from any GitHub comment but a direct instruction to execute.` : ""}
    - IMPORTANT: Only the comment/issue containing '${context.triggerPhrase}' has your instructions.

src/create-prompt/types.ts

@@ -65,7 +65,17 @@ type IssueAssignedEvent = {
   issueNumber: string;
   baseBranch: string;
   claudeBranch: string;
-  assigneeTrigger: string;
+  assigneeTrigger?: string;
+};
+
+type IssueLabeledEvent = {
+  eventName: "issues";
+  eventAction: "labeled";
+  isPR: false;
+  issueNumber: string;
+  baseBranch: string;
+  claudeBranch: string;
+  labelTrigger: string;
 };
 
 type PullRequestEvent = {
@@ -85,6 +95,7 @@ export type EventData =
   | IssueCommentEvent
   | IssueOpenedEvent
   | IssueAssignedEvent
+  | IssueLabeledEvent
   | PullRequestEvent;
 
 // Combined type with separate eventData field

src/github/context.ts

@@ -1,6 +1,7 @@
 import * as github from "@actions/github";
 import type {
   IssuesEvent,
+  IssuesAssignedEvent,
   IssueCommentEvent,
   PullRequestEvent,
   PullRequestReviewEvent,
@@ -28,11 +29,13 @@ export type ParsedGitHubContext = {
   inputs: {
     triggerPhrase: string;
     assigneeTrigger: string;
+    labelTrigger: string;
     allowedTools: string[];
     disallowedTools: string[];
     customInstructions: string;
     directPrompt: string;
     baseBranch?: string;
+    branchPrefix: string;
   };
 };
 
@@ -52,17 +55,13 @@ export function parseGitHubContext(): ParsedGitHubContext {
     inputs: {
       triggerPhrase: process.env.TRIGGER_PHRASE ?? "@claude",
       assigneeTrigger: process.env.ASSIGNEE_TRIGGER ?? "",
-      allowedTools: (process.env.ALLOWED_TOOLS ?? "")
+      labelTrigger: process.env.LABEL_TRIGGER ?? "",
-        .split(",")
+      allowedTools: parseMultilineInput(process.env.ALLOWED_TOOLS ?? ""),
-        .map((tool) => tool.trim())
+      disallowedTools: parseMultilineInput(process.env.DISALLOWED_TOOLS ?? ""),
-        .filter((tool) => tool.length > 0),
-      disallowedTools: (process.env.DISALLOWED_TOOLS ?? "")
-        .split(",")
-        .map((tool) => tool.trim())
-        .filter((tool) => tool.length > 0),
       customInstructions: process.env.CUSTOM_INSTRUCTIONS ?? "",
       directPrompt: process.env.DIRECT_PROMPT ?? "",
       baseBranch: process.env.BASE_BRANCH,
+      branchPrefix: process.env.BRANCH_PREFIX ?? "claude/",
     },
   };
 
@@ -116,6 +115,14 @@ export function parseGitHubContext(): ParsedGitHubContext {
   }
 }
 
+export function parseMultilineInput(s: string): string[] {
+  return s
+    .split(/,|[\n\r]+/)
+    .map((tool) => tool.replace(/#.+$/, ""))
+    .map((tool) => tool.trim())
+    .filter((tool) => tool.length > 0);
+}
+
 export function isIssuesEvent(
   context: ParsedGitHubContext,
 ): context is ParsedGitHubContext & { payload: IssuesEvent } {
@@ -145,3 +152,9 @@ export function isPullRequestReviewCommentEvent(
 ): context is ParsedGitHubContext & { payload: PullRequestReviewCommentEvent } {
   return context.eventName === "pull_request_review_comment";
 }
+
+export function isIssuesAssignedEvent(
+  context: ParsedGitHubContext,
+): context is ParsedGitHubContext & { payload: IssuesAssignedEvent } {
+  return isIssuesEvent(context) && context.eventAction === "assigned";
+}

src/github/operations/branch.ts

@@ -26,7 +26,7 @@ export async function setupBranch(
 ): Promise<BranchInfo> {
   const { owner, repo } = context.repository;
   const entityNumber = context.entityNumber;
-  const { baseBranch } = context.inputs;
+  const { baseBranch, branchPrefix } = context.inputs;
   const isPR = context.isPR;
 
   if (isPR) {
@@ -45,9 +45,16 @@ export async function setupBranch(
 
       const branchName = prData.headRefName;
 
-      // Execute git commands to checkout PR branch (shallow fetch for performance)
+      // Determine optimal fetch depth based on PR commit count, with a minimum of 20
-      // Fetch the branch with a depth of 20 to avoid fetching too much history, while still allowing for some context
+      const commitCount = prData.commits.totalCount;
-      await $`git fetch origin --depth=20 ${branchName}`;
+      const fetchDepth = Math.max(commitCount, 20);
+
+      console.log(
+        `PR #${entityNumber}: ${commitCount} commits, using fetch depth ${fetchDepth}`,
+      );
+
+      // Execute git commands to checkout PR branch (dynamic depth based on PR size)
+      await $`git fetch origin --depth=${fetchDepth} ${branchName}`;
       await $`git checkout ${branchName}`;
 
       console.log(`Successfully checked out PR branch for PR #${entityNumber}`);
@@ -90,7 +97,7 @@ export async function setupBranch(
     .split("T")
     .join("_");
 
-  const newBranch = `claude/${entityType}-${entityNumber}-${timestamp}`;
+  const newBranch = `${branchPrefix}${entityType}-${entityNumber}-${timestamp}`;
 
   try {
     // Get the SHA of the source branch

src/github/validation/trigger.ts

@@ -3,6 +3,7 @@
 import * as core from "@actions/core";
 import {
   isIssuesEvent,
+  isIssuesAssignedEvent,
   isIssueCommentEvent,
   isPullRequestEvent,
   isPullRequestReviewEvent,
@@ -12,7 +13,7 @@ import type { ParsedGitHubContext } from "../context";
 
 export function checkContainsTrigger(context: ParsedGitHubContext): boolean {
   const {
-    inputs: { assigneeTrigger, triggerPhrase, directPrompt },
+    inputs: { assigneeTrigger, labelTrigger, triggerPhrase, directPrompt },
   } = context;
 
   // If direct prompt is provided, always trigger
@@ -22,10 +23,10 @@ export function checkContainsTrigger(context: ParsedGitHubContext): boolean {
   }
 
   // Check for assignee trigger
-  if (isIssuesEvent(context) && context.eventAction === "assigned") {
+  if (isIssuesAssignedEvent(context)) {
     // Remove @ symbol from assignee_trigger if present
     let triggerUser = assigneeTrigger.replace(/^@/, "");
-    const assigneeUsername = context.payload.issue.assignee?.login || "";
+    const assigneeUsername = context.payload.assignee?.login || "";
 
     if (triggerUser && assigneeUsername === triggerUser) {
       console.log(`Issue assigned to trigger user '${triggerUser}'`);
@@ -33,6 +34,16 @@ export function checkContainsTrigger(context: ParsedGitHubContext): boolean {
     }
   }
 
+  // Check for label trigger
+  if (isIssuesEvent(context) && context.eventAction === "labeled") {
+    const labelName = (context.payload as any).label?.name || "";
+
+    if (labelTrigger && labelName === labelTrigger) {
+      console.log(`Issue labeled with trigger label '${labelTrigger}'`);
+      return true;
+    }
+  }
+
   // Check for issue body and title trigger on issue creation
   if (isIssuesEvent(context) && context.eventAction === "opened") {
     const issueBody = context.payload.issue.body || "";

src/mcp/github-file-ops-server.ts

@@ -125,6 +125,50 @@ server.tool(
             ? filePath
             : join(REPO_DIR, filePath);
 
+          // Check if file is binary (images, etc.)
+          const isBinaryFile =
+            /\.(png|jpg|jpeg|gif|webp|ico|pdf|zip|tar|gz|exe|bin|woff|woff2|ttf|eot)$/i.test(
+              filePath,
+            );
+
+          if (isBinaryFile) {
+            // For binary files, create a blob first using the Blobs API
+            const binaryContent = await readFile(fullPath);
+
+            // Create blob using Blobs API (supports encoding parameter)
+            const blobUrl = `${GITHUB_API_URL}/repos/${owner}/${repo}/git/blobs`;
+            const blobResponse = await fetch(blobUrl, {
+              method: "POST",
+              headers: {
+                Accept: "application/vnd.github+json",
+                Authorization: `Bearer ${githubToken}`,
+                "X-GitHub-Api-Version": "2022-11-28",
+                "Content-Type": "application/json",
+              },
+              body: JSON.stringify({
+                content: binaryContent.toString("base64"),
+                encoding: "base64",
+              }),
+            });
+
+            if (!blobResponse.ok) {
+              const errorText = await blobResponse.text();
+              throw new Error(
+                `Failed to create blob for ${filePath}: ${blobResponse.status} - ${errorText}`,
+              );
+            }
+
+            const blobData = (await blobResponse.json()) as { sha: string };
+
+            // Return tree entry with blob SHA
+            return {
+              path: filePath,
+              mode: "100644",
+              type: "blob",
+              sha: blobData.sha,
+            };
+          } else {
+            // For text files, include content directly in tree
             const content = await readFile(fullPath, "utf-8");
             return {
               path: filePath,
@@ -132,6 +176,7 @@ server.tool(
               type: "blob",
               content: content,
             };
+          }
         }),
       );
 

src/mcp/install-mcp-server.ts

@@ -62,7 +62,7 @@ export async function prepareMcpConfig(
           "--rm",
           "-e",
           "GITHUB_PERSONAL_ACCESS_TOKEN",
-          "ghcr.io/github/github-mcp-server:sha-e9f748f", // https://github.com/github/github-mcp-server/releases/tag/v0.4.0
+          "ghcr.io/github/github-mcp-server:sha-6d69797", // https://github.com/github/github-mcp-server/releases/tag/v0.5.0
         ],
         env: {
           GITHUB_PERSONAL_ACCESS_TOKEN: githubToken,

test/create-prompt.test.ts

@@ -226,6 +226,33 @@ describe("generatePrompt", () => {
     );
   });
 
+  test("should generate prompt for issue labeled event", () => {
+    const envVars: PreparedContext = {
+      repository: "owner/repo",
+      claudeCommentId: "12345",
+      triggerPhrase: "@claude",
+      eventData: {
+        eventName: "issues",
+        eventAction: "labeled",
+        isPR: false,
+        issueNumber: "888",
+        baseBranch: "main",
+        claudeBranch: "claude/issue-888-20240101_120000",
+        labelTrigger: "claude-task",
+      },
+    };
+
+    const prompt = generatePrompt(envVars, mockGitHubData);
+
+    expect(prompt).toContain("<event_type>ISSUE_LABELED</event_type>");
+    expect(prompt).toContain(
+      "<trigger_context>issue labeled with 'claude-task'</trigger_context>",
+    );
+    expect(prompt).toContain(
+      "[Create a PR](https://github.com/owner/repo/compare/main",
+    );
+  });
+
   test("should include direct prompt when provided", () => {
     const envVars: PreparedContext = {
       repository: "owner/repo",
@@ -614,6 +641,51 @@ describe("getEventTypeAndContext", () => {
     expect(result.eventType).toBe("ISSUE_ASSIGNED");
     expect(result.triggerContext).toBe("issue assigned to 'claude-bot'");
   });
+
+  test("should return correct type and context for issue labeled", () => {
+    const envVars: PreparedContext = {
+      repository: "owner/repo",
+      claudeCommentId: "12345",
+      triggerPhrase: "@claude",
+      eventData: {
+        eventName: "issues",
+        eventAction: "labeled",
+        isPR: false,
+        issueNumber: "888",
+        baseBranch: "main",
+        claudeBranch: "claude/issue-888-20240101_120000",
+        labelTrigger: "claude-task",
+      },
+    };
+
+    const result = getEventTypeAndContext(envVars);
+
+    expect(result.eventType).toBe("ISSUE_LABELED");
+    expect(result.triggerContext).toBe("issue labeled with 'claude-task'");
+  });
+
+  test("should return correct type and context for issue assigned without assigneeTrigger", () => {
+    const envVars: PreparedContext = {
+      repository: "owner/repo",
+      claudeCommentId: "12345",
+      triggerPhrase: "@claude",
+      directPrompt: "Please assess this issue",
+      eventData: {
+        eventName: "issues",
+        eventAction: "assigned",
+        isPR: false,
+        issueNumber: "999",
+        baseBranch: "main",
+        claudeBranch: "claude/issue-999-20240101_120000",
+        // No assigneeTrigger when using directPrompt
+      },
+    };
+
+    const result = getEventTypeAndContext(envVars);
+
+    expect(result.eventType).toBe("ISSUE_ASSIGNED");
+    expect(result.triggerContext).toBe("issue assigned event");
+  });
 });
 
 describe("buildAllowedToolsString", () => {

test/github/context.test.ts

@@ -0,0 +1,57 @@
+import { describe, it, expect } from "bun:test";
+import { parseMultilineInput } from "../../src/github/context";
+
+describe("parseMultilineInput", () => {
+  it("should parse a comma-separated string", () => {
+    const input = `Bash(bun install),Bash(bun test:*),Bash(bun typecheck)`;
+    const result = parseMultilineInput(input);
+    expect(result).toEqual([
+      "Bash(bun install)",
+      "Bash(bun test:*)",
+      "Bash(bun typecheck)",
+    ]);
+  });
+
+  it("should parse multiline string", () => {
+    const input = `Bash(bun install)
+Bash(bun test:*)
+Bash(bun typecheck)`;
+    const result = parseMultilineInput(input);
+    expect(result).toEqual([
+      "Bash(bun install)",
+      "Bash(bun test:*)",
+      "Bash(bun typecheck)",
+    ]);
+  });
+
+  it("should parse comma-separated multiline line", () => {
+    const input = `Bash(bun install),Bash(bun test:*)
+Bash(bun typecheck)`;
+    const result = parseMultilineInput(input);
+    expect(result).toEqual([
+      "Bash(bun install)",
+      "Bash(bun test:*)",
+      "Bash(bun typecheck)",
+    ]);
+  });
+
+  it("should ignore comments", () => {
+    const input = `Bash(bun install),
+Bash(bun test:*) # For testing
+# For type checking
+Bash(bun typecheck)
+`;
+    const result = parseMultilineInput(input);
+    expect(result).toEqual([
+      "Bash(bun install)",
+      "Bash(bun test:*)",
+      "Bash(bun typecheck)",
+    ]);
+  });
+
+  it("should parse an empty string", () => {
+    const input = "";
+    const result = parseMultilineInput(input);
+    expect(result).toEqual([]);
+  });
+});

test/mockContext.ts

@@ -10,6 +10,7 @@ import type {
 const defaultInputs = {
   triggerPhrase: "/claude",
   assigneeTrigger: "",
+  labelTrigger: "",
   anthropicModel: "claude-3-7-sonnet-20250219",
   allowedTools: [] as string[],
   disallowedTools: [] as string[],
@@ -18,6 +19,7 @@ const defaultInputs = {
   useBedrock: false,
   useVertex: false,
   timeoutMinutes: 30,
+  branchPrefix: "claude/",
 };
 
 const defaultRepository = {
@@ -91,6 +93,12 @@ export const mockIssueAssignedContext: ParsedGitHubContext = {
   actor: "admin-user",
   payload: {
     action: "assigned",
+    assignee: {
+      login: "claude-bot",
+      id: 11111,
+      avatar_url: "https://avatars.githubusercontent.com/u/11111",
+      html_url: "https://github.com/claude-bot",
+    },
     issue: {
       number: 123,
       title: "Feature: Add dark mode support",
@@ -122,6 +130,46 @@ export const mockIssueAssignedContext: ParsedGitHubContext = {
   inputs: { ...defaultInputs, assigneeTrigger: "@claude-bot" },
 };
 
+export const mockIssueLabeledContext: ParsedGitHubContext = {
+  runId: "1234567890",
+  eventName: "issues",
+  eventAction: "labeled",
+  repository: defaultRepository,
+  actor: "admin-user",
+  payload: {
+    action: "labeled",
+    issue: {
+      number: 1234,
+      title: "Enhancement: Improve search functionality",
+      body: "The current search is too slow and needs optimization",
+      user: {
+        login: "alice-wonder",
+        id: 54321,
+        avatar_url: "https://avatars.githubusercontent.com/u/54321",
+        html_url: "https://github.com/alice-wonder",
+      },
+      assignee: null,
+    },
+    label: {
+      id: 987654321,
+      name: "claude-task",
+      color: "f29513",
+      description: "Label for Claude AI interactions",
+    },
+    repository: {
+      name: "test-repo",
+      full_name: "test-owner/test-repo",
+      private: false,
+      owner: {
+        login: "test-owner",
+      },
+    },
+  } as IssuesEvent,
+  entityNumber: 1234,
+  isPR: false,
+  inputs: { ...defaultInputs, labelTrigger: "claude-task" },
+};
+
 // Issue comment on issue event
 export const mockIssueCommentContext: ParsedGitHubContext = {
   runId: "1234567890",

test/permissions.test.ts

@@ -62,10 +62,12 @@ describe("checkWritePermissions", () => {
     inputs: {
       triggerPhrase: "@claude",
       assigneeTrigger: "",
+      labelTrigger: "",
       allowedTools: [],
       disallowedTools: [],
       customInstructions: "",
       directPrompt: "",
+      branchPrefix: "claude/",
     },
   });
 

test/prepare-context.test.ts

@@ -219,6 +219,55 @@ describe("parseEnvVarsWithContext", () => {
         ),
       ).toThrow("BASE_BRANCH is required for issues event");
     });
+
+    test("should allow issue assigned event with direct_prompt and no assigneeTrigger", () => {
+      const contextWithDirectPrompt = createMockContext({
+        ...mockIssueAssignedContext,
+        inputs: {
+          ...mockIssueAssignedContext.inputs,
+          assigneeTrigger: "", // No assignee trigger
+          directPrompt: "Please assess this issue", // But direct prompt is provided
+        },
+      });
+
+      const result = prepareContext(
+        contextWithDirectPrompt,
+        "12345",
+        "main",
+        "claude/issue-123-20240101_120000",
+      );
+
+      expect(result.eventData.eventName).toBe("issues");
+      expect(result.eventData.isPR).toBe(false);
+      expect(result.directPrompt).toBe("Please assess this issue");
+      if (
+        result.eventData.eventName === "issues" &&
+        result.eventData.eventAction === "assigned"
+      ) {
+        expect(result.eventData.issueNumber).toBe("123");
+        expect(result.eventData.assigneeTrigger).toBeUndefined();
+      }
+    });
+
+    test("should throw error when neither assigneeTrigger nor directPrompt provided for issue assigned event", () => {
+      const contextWithoutTriggers = createMockContext({
+        ...mockIssueAssignedContext,
+        inputs: {
+          ...mockIssueAssignedContext.inputs,
+          assigneeTrigger: "", // No assignee trigger
+          directPrompt: "", // No direct prompt
+        },
+      });
+
+      expect(() =>
+        prepareContext(
+          contextWithoutTriggers,
+          "12345",
+          "main",
+          "claude/issue-123-20240101_120000",
+        ),
+      ).toThrow("ASSIGNEE_TRIGGER is required for issue assigned event");
+    });
   });
 
   describe("optional fields", () => {

test/trigger-validation.test.ts

@@ -6,6 +6,7 @@ import { describe, it, expect } from "bun:test";
 import {
   createMockContext,
   mockIssueAssignedContext,
+  mockIssueLabeledContext,
   mockIssueCommentContext,
   mockIssueOpenedContext,
   mockPullRequestReviewContext,
@@ -29,10 +30,12 @@ describe("checkContainsTrigger", () => {
         inputs: {
           triggerPhrase: "/claude",
           assigneeTrigger: "",
+          labelTrigger: "",
           directPrompt: "Fix the bug in the login form",
           allowedTools: [],
           disallowedTools: [],
           customInstructions: "",
+          branchPrefix: "claude/",
         },
       });
       expect(checkContainsTrigger(context)).toBe(true);
@@ -55,10 +58,12 @@ describe("checkContainsTrigger", () => {
         inputs: {
           triggerPhrase: "/claude",
           assigneeTrigger: "",
+          labelTrigger: "",
           directPrompt: "",
           allowedTools: [],
           disallowedTools: [],
           customInstructions: "",
+          branchPrefix: "claude/",
         },
       });
       expect(checkContainsTrigger(context)).toBe(false);
@@ -87,6 +92,11 @@ describe("checkContainsTrigger", () => {
         ...mockIssueAssignedContext,
         payload: {
           ...mockIssueAssignedContext.payload,
+          assignee: {
+            ...(mockIssueAssignedContext.payload as IssuesAssignedEvent)
+              .assignee,
+            login: "otherUser",
+          },
           issue: {
             ...(mockIssueAssignedContext.payload as IssuesAssignedEvent).issue,
             assignee: {
@@ -102,6 +112,39 @@ describe("checkContainsTrigger", () => {
     });
   });
 
+  describe("label trigger", () => {
+    it("should return true when issue is labeled with the trigger label", () => {
+      const context = mockIssueLabeledContext;
+      expect(checkContainsTrigger(context)).toBe(true);
+    });
+
+    it("should return false when issue is labeled with a different label", () => {
+      const context = {
+        ...mockIssueLabeledContext,
+        payload: {
+          ...mockIssueLabeledContext.payload,
+          label: {
+            ...(mockIssueLabeledContext.payload as any).label,
+            name: "bug",
+          },
+        },
+      } as ParsedGitHubContext;
+      expect(checkContainsTrigger(context)).toBe(false);
+    });
+
+    it("should return false for non-labeled events", () => {
+      const context = {
+        ...mockIssueLabeledContext,
+        eventAction: "opened",
+        payload: {
+          ...mockIssueLabeledContext.payload,
+          action: "opened",
+        },
+      } as ParsedGitHubContext;
+      expect(checkContainsTrigger(context)).toBe(false);
+    });
+  });
+
   describe("issue body and title trigger", () => {
     it("should return true when issue body contains trigger phrase", () => {
       const context = mockIssueOpenedContext;
@@ -227,10 +270,12 @@ describe("checkContainsTrigger", () => {
         inputs: {
           triggerPhrase: "@claude",
           assigneeTrigger: "",
+          labelTrigger: "",
           directPrompt: "",
           allowedTools: [],
           disallowedTools: [],
           customInstructions: "",
+          branchPrefix: "claude/",
         },
       });
       expect(checkContainsTrigger(context)).toBe(true);
@@ -254,10 +299,12 @@ describe("checkContainsTrigger", () => {
         inputs: {
           triggerPhrase: "@claude",
           assigneeTrigger: "",
+          labelTrigger: "",
           directPrompt: "",
           allowedTools: [],
           disallowedTools: [],
           customInstructions: "",
+          branchPrefix: "claude/",
         },
       });
       expect(checkContainsTrigger(context)).toBe(true);
@@ -281,10 +328,12 @@ describe("checkContainsTrigger", () => {
         inputs: {
           triggerPhrase: "@claude",
           assigneeTrigger: "",
+          labelTrigger: "",
           directPrompt: "",
           allowedTools: [],
           disallowedTools: [],
           customInstructions: "",
+          branchPrefix: "claude/",
         },
       });
       expect(checkContainsTrigger(context)).toBe(false);