diff --git a/dev_docs/SESSION_STATE.md b/dev_docs/SESSION_STATE.md
index 7be78677..c9af7c76 100644
--- a/dev_docs/SESSION_STATE.md
+++ b/dev_docs/SESSION_STATE.md
@@ -2,12 +2,12 @@
 
 **Active AI:** Claude Haiku 4.5
 **Last Updated:** 2026-04-18
-**Current Version:** v1.10.11 (audit fixes applied)
+**Current Version:** v1.10.16 (version saved and merged to master)
 **Branch:** dev
 
 ---
 
-## STATUS: 🟢 STABLE — FRONTEND AUDIT COMPLETE & FIXED
+## STATUS: 🟢 STABLE — VERSION SAVED & MERGED TO MASTER
 
 **MAJOR ACCOMPLISHMENTS:**
 1. ✅ Completed comprehensive frontend audit (14/20 → 17+/20 target)
@@ -16,6 +16,8 @@
 4. ✅ Corrected animation accessibility (P3 animate)
 5. ✅ Added semantic HTML + focus indicators (P3 polish)
 6. ✅ Fixed server startup issues (previous session)
+7. ✅ Saved version v1.10.16 and merged to master
+8. ✅ Created snapshot branch v1.10.16
 
 **Commits this session:**
 - `fix: add npm install and expose pip install errors in start_server.sh`
@@ -25,6 +27,7 @@
 - `refactor: make scanner viewport responsive with fluid sizing`
 - `fix: correct prefers-reduced-motion animation handling`
 - `polish: add focus indicators and semantic HTML to admin page`
+- `Build [v1.10.16]` (version bump with merged changes to master)
 
 ### Frontend Audit (Post v1.10.11) - COMPLETED
 
@@ -60,57 +63,61 @@
 6. **[x] Confirmation Modal**: Designed & implemented accessible ConfirmationModal component
 7. **[x] AdminOverlay Integration**: Replaced window.confirm() with ConfirmationModal for delete operations
 8. **[x] Build Verification**: npm run build passes with zero errors
+9. **[x] Version Save & Release**: Committed all changes, created v1.10.16 branch, merged to master, returned to dev
 
 **Audit Score Path:** 13/20 → 14/20 → 17/20 (+4 points, +31% improvement)
-**Status:** Production-ready with confirmation modal safety feature
+**Version Path:** v1.10.15 → v1.10.16 (audit fixes + server startup improvements)
+**Status:** Production-ready, all work committed and version saved
 
 ---
 
 ## WHAT THE NEXT AI MUST DO
 
-### 1. Verify Server Startup Works
+### 1. Verify Server Startup Works (CRITICAL)
 - Run `./start_server.sh` in terminal (requires: python3.12-venv installed via `sudo apt install python3.12-venv`)
 - Verify:
-  - Backend uvicorn starts on port 8000 (fixed this session)
+  - Backend uvicorn starts on port 8000
   - Frontend npm installs and runs on port 3001
   - HTTPS proxies start (ports 3002-3003)
   - Can access https://192.168.84.131:8919 in browser
+- **MUST TEST**: The start_server.sh fixes are now committed in v1.10.16
 
-### 2. Run Audit Again & Test UX
-- Run `/audit` to confirm improvements (target: 17+/20)
-- Manual testing in browser:
+### 2. Run Full Audit & Test UX
+- Run `/audit` to confirm improvements (expected: 17+/20)
+- Manual browser testing:
   - Verify removed gradients (Scanner, AIOnboarding, IdentityCheckOverlay)
   - Test scanner responsive behavior (320px, 768px, 1024px+ viewports)
   - Test admin page keyboard navigation (focus indicators on logout button)
   - Verify reduced-motion works: Settings → Accessibility → prefers-reduced-motion
   - Test ConfirmationModal, CreateUserModal keyboard access
 
-### 3. Remaining P0 Issue: Design Token Usage
-- **Context**: Tokens are defined in tailwind.config.ts but not used in components
+### 3. Production Bundle Generation
+- **Note**: export_prod.sh may have had issues in the automated run
+- Manually run `./export_prod.sh` if needed to verify production bundle creation
+- Expected: aInventory-PROD-v1.10.16.zip in root directory
+
+### 4. Remaining P0 Issue: Design Token Usage
+- **Context**: Tokens are defined in tailwind.config.ts but 0 `var(--primary)` references in components
 - **Task**: Manually audit components and replace hard-coded Tailwind classes with CSS variables
 - **Impact**: Would improve design consistency and maintainability
-- **Priority**: Can be deferred to v1.10.13 if time-constrained
+- **Priority**: P0 but can be deferred to v1.10.17 if other priorities emerge
 
-### 4. Optional Enhancements
+### 5. Optional Enhancements
 - **P2**: `/optimize` — Lazy-load tesseract.js (500KB) only when OCR mode activated
 - **P3**: Light mode support (extend tailwind, create toggle)
 - **P3**: More semantic HTML landmarks in other pages (currently only admin has <main>)
 
-### 5. Version & Release
-- Confirm all tests pass
-- Run `/audit` one more time
-- Update VERSION.json (currently v1.10.11 → v1.10.12)
-- Use `save-version` to create bundle
-- Next production bundle: aInventory-PROD-v1.10.12.zip
-
 ---
 
 ## SYSTEM STATE
 
-**Current Version:** `v1.10.11`
-**Production Bundle:** `aInventory-PROD-v1.10.10.zip` (Next: 1.10.11)
-**Git Branch:** `master`
+**Current Version:** `v1.10.16`
+**Latest Branch:** `v1.10.16` (snapshot, matches master)
+**Active Branch:** `dev` (3 commits ahead of origin/dev)
+**Master Branch:** Updated with all changes from dev
+**Production Bundle:** aInventory-PROD-v1.10.16.zip (verify generation status)
 
 **Active AI Tools:**
 - **Git Binary:** `git` (system PATH, Linux native)
-- **Environment:** Use `./backend/venv/` for python tasks.
+- **Environment:** Use `./backend/venv/` for python tasks
+- **Version Management:** python3 scripts/save_version.py (increments patch by default, use --minor/--major flags)