diff --git a/.dagger/config.toml b/.dagger/config.toml
new file mode 100644
index 0000000..9c12bf4
--- /dev/null
+++ b/.dagger/config.toml
@@ -0,0 +1,2 @@
+[modules.dang-sdk]
+source = "github.com/dagger/dang-sdk"
diff --git a/.dagger/migration-report.md b/.dagger/migration-report.md
new file mode 100644
index 0000000..4b9eddb
--- /dev/null
+++ b/.dagger/migration-report.md
@@ -0,0 +1,10 @@
+# Migration Report
+
+## Root module requires explicit loading
+
+The root `dagger.json` is still a valid module, but it must be loaded explicitly.
+
+- **This works**: `dagger -m . call --help`
+- **This no longer works**: `dagger call --help`
+
+ACTION: If your scripts rely on implicit loading of the root module, change them to use explicit loading.
diff --git a/tests/hello_world_toolchain_local/.dagger/config.toml b/tests/hello_world_toolchain_local/.dagger/config.toml
new file mode 100644
index 0000000..ff62e6f
--- /dev/null
+++ b/tests/hello_world_toolchain_local/.dagger/config.toml
@@ -0,0 +1,5 @@
+[modules.vitest]
+source = "../../.."
+legacy-default-path = true
+# settings.baseImageAddress = ""
+# settings.packageManager = ""
diff --git a/tests/hello_world_toolchain_local/.dagger/migration-report.md b/tests/hello_world_toolchain_local/.dagger/migration-report.md
new file mode 100644
index 0000000..7603c93
--- /dev/null
+++ b/tests/hello_world_toolchain_local/.dagger/migration-report.md
@@ -0,0 +1,20 @@
+# Migration Report
+
+Dagger migrated `dagger.json`, but some old settings need a manual check.
+
+ACTION: Review each item below. If your project still relies on it, add the setting back manually.
+
+Legacy config: `dagger.json`
+
+## 1. `vitest` needs a manual check
+
+Dagger could not migrate this setting automatically: constructor arg "source" has 'defaultPath', which workspace settings do not support
+
+Original setting:
+
+```json
+{
+  "argument": "source",
+  "defaultPath": "/tests/hello_world_toolchain_local"
+}
+```
diff --git a/tests/hello_world_toolchain_local/dagger.json b/tests/hello_world_toolchain_local/dagger.json
deleted file mode 100644
index b53fc72..0000000
--- a/tests/hello_world_toolchain_local/dagger.json
+++ /dev/null
@@ -1,16 +0,0 @@
-{
-  "name": "hello_world",
-  "engineVersion": "v0.19.10",
-  "toolchains": [
-    {
-      "name": "vitest",
-      "source": "../../",
-      "customizations": [
-        {
-          "argument": "source",
-          "defaultPath": "/tests/hello_world_toolchain_local"
-        }
-      ]
-    }
-  ]
-}
diff --git a/tests/log_output_toolchain_local/.dagger/config.toml b/tests/log_output_toolchain_local/.dagger/config.toml
new file mode 100644
index 0000000..ff62e6f
--- /dev/null
+++ b/tests/log_output_toolchain_local/.dagger/config.toml
@@ -0,0 +1,5 @@
+[modules.vitest]
+source = "../../.."
+legacy-default-path = true
+# settings.baseImageAddress = ""
+# settings.packageManager = ""
diff --git a/tests/log_output_toolchain_local/.dagger/migration-report.md b/tests/log_output_toolchain_local/.dagger/migration-report.md
new file mode 100644
index 0000000..ba54472
--- /dev/null
+++ b/tests/log_output_toolchain_local/.dagger/migration-report.md
@@ -0,0 +1,20 @@
+# Migration Report
+
+Dagger migrated `dagger.json`, but some old settings need a manual check.
+
+ACTION: Review each item below. If your project still relies on it, add the setting back manually.
+
+Legacy config: `dagger.json`
+
+## 1. `vitest` needs a manual check
+
+Dagger could not migrate this setting automatically: constructor arg "source" has 'defaultPath', which workspace settings do not support
+
+Original setting:
+
+```json
+{
+  "argument": "source",
+  "defaultPath": "/tests/log_output_toolchain_local"
+}
+```
diff --git a/tests/log_output_toolchain_local/dagger.json b/tests/log_output_toolchain_local/dagger.json
deleted file mode 100644
index 5fa428c..0000000
--- a/tests/log_output_toolchain_local/dagger.json
+++ /dev/null
@@ -1,16 +0,0 @@
-{
-  "name": "vitest-log-output",
-  "engineVersion": "v0.19.10",
-  "toolchains": [
-    {
-      "name": "vitest",
-      "source": "../../",
-      "customizations": [
-        {
-          "argument": "source",
-          "defaultPath": "/tests/log_output_toolchain_local"
-        }
-      ]
-    }
-  ]
-}