diff --git a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-4.22-lpMainline-lp-interop.yaml b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-4.22-lpMainline-lp-interop.yaml
index dfc7f2fe3e4c1..13142b13014bf 100644
--- a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-4.22-lpMainline-lp-interop.yaml
+++ b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-4.22-lpMainline-lp-interop.yaml
@@ -107,6 +107,8 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
+      MCP_WAIT_TIMEOUT: "4200"
+      ODF_OPERATOR_CHANNEL: stable-4.22
       ODF_VERSION_MAJOR_MINOR: "4.22"
       OPERATORS: |
         [
@@ -147,7 +149,6 @@ tests:
     - ref: acm-fetch-managed-clusters
     - ref: acm-opp-app
     - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
     - ref: interop-tests-ocs-tests
     - ref: interop-tests-opp-quay-smoke
     - ref: interop-opp-skip-ratio-gate
@@ -179,6 +180,8 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
+      MCP_WAIT_TIMEOUT: "4200"
+      ODF_OPERATOR_CHANNEL: stable-4.22
       ODF_VERSION_MAJOR_MINOR: "4.22"
       OPENSHIFT_REQUIRED_CORES: "72"
       OPENSHIFT_REQUIRED_MEMORY: "288"
@@ -209,7 +212,6 @@ tests:
     - ref: acm-policies-openshift-plus
     - ref: interop-opp-wait-mcp
     - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
     - ref: interop-tests-ocs-tests
     - ref: acm-opp-app
     - ref: interop-opp-skip-ratio-gate
diff --git a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-fips-lpMainline-lp-interop.yaml b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-fips-lpMainline-lp-interop.yaml
index f05f2c80a0756..1ecb3bd07f025 100644
--- a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-fips-lpMainline-lp-interop.yaml
+++ b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-fips-lpMainline-lp-interop.yaml
@@ -38,6 +38,20 @@ images:
     from: cli
     optional: true
     to: cli-with-skopeo
+  - dockerfile_literal: |
+      FROM registry.access.redhat.com/ubi9/openjdk-17:1.21
+      USER root
+      RUN microdnf install -y git gzip && microdnf clean all
+      RUN cd /tmp \
+          && curl -sLO https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/openshift-client-linux.tar.gz \
+          && curl -sL https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/sha256sum.txt \
+             | grep openshift-client-linux.tar.gz > /tmp/checksum.txt \
+          && test -s /tmp/checksum.txt \
+          && sha256sum -c /tmp/checksum.txt \
+          && tar xzf openshift-client-linux.tar.gz -C /usr/local/bin oc kubectl \
+          && rm -f openshift-client-linux.tar.gz /tmp/checksum.txt
+      USER 1001
+    to: acs-smoke-runner
 prowgen:
   enable_secrets_store_csi_driver: true
 releases:
@@ -84,11 +98,12 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
-      ODF_VERSION_MAJOR_MINOR: "4.22"
+      ODF_OPERATOR_CHANNEL: stable-4.22
       OPERATORS: |
         [
           {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.17", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
         ]
+      QUAY_OPERATOR_CHANNEL: stable-3.17
       SKIP_POLICIES: policy-acs,policy-acs-central-ca-bundle,policy-acs-central-status,policy-acs-monitor-certs,policy-acs-operator-central,policy-acs-sync-resources,policy-advanced-managed-cluster-security,policy-advanced-managed-cluster-status,policy-compliance-operator-install,policy-config-quay,policy-hub-quay-bridge,policy-install-quay,policy-observability-operator,policy-observability-storage,policy-observability-storage-status,policy-odf,policy-odf-cluster,policy-odf-noobaa,policy-odf-status,policy-quay-bridge,policy-quay-status
       ZONES_COUNT: "3"
     post:
@@ -119,8 +134,6 @@ tests:
     - ref: acm-fetch-managed-clusters
     - ref: acm-opp-app
     - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
-    - ref: interop-tests-ocs-tests
     - ref: interop-tests-opp-quay-smoke
     - ref: interop-opp-skip-ratio-gate
 zz_generated_metadata:
diff --git a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-lpMainline-lp-interop.yaml b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-lpMainline-lp-interop.yaml
index d6c62447ddeaa..04d1a3bd5da23 100644
--- a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-lpMainline-lp-interop.yaml
+++ b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.0-lpMainline-lp-interop.yaml
@@ -46,6 +46,20 @@ images:
     from: cli
     optional: true
     to: cli-with-skopeo
+  - dockerfile_literal: |
+      FROM registry.access.redhat.com/ubi9/openjdk-17:1.21
+      USER root
+      RUN microdnf install -y git gzip && microdnf clean all
+      RUN cd /tmp \
+          && curl -sLO https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/openshift-client-linux.tar.gz \
+          && curl -sL https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/sha256sum.txt \
+             | grep openshift-client-linux.tar.gz > /tmp/checksum.txt \
+          && test -s /tmp/checksum.txt \
+          && sha256sum -c /tmp/checksum.txt \
+          && tar xzf openshift-client-linux.tar.gz -C /usr/local/bin oc kubectl \
+          && rm -f openshift-client-linux.tar.gz /tmp/checksum.txt
+      USER 1001
+    to: acs-smoke-runner
 prowgen:
   enable_secrets_store_csi_driver: true
 releases:
@@ -91,11 +105,12 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
-      ODF_VERSION_MAJOR_MINOR: "4.22"
+      ODF_OPERATOR_CHANNEL: stable-4.22
       OPERATORS: |
         [
           {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.17", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
         ]
+      QUAY_OPERATOR_CHANNEL: stable-3.17
       SKIP_POLICIES: policy-acs,policy-acs-central-ca-bundle,policy-acs-central-status,policy-acs-monitor-certs,policy-acs-operator-central,policy-acs-sync-resources,policy-advanced-managed-cluster-security,policy-advanced-managed-cluster-status,policy-compliance-operator-install,policy-config-quay,policy-hub-quay-bridge,policy-install-quay,policy-observability-operator,policy-observability-storage,policy-observability-storage-status,policy-odf,policy-odf-cluster,policy-odf-noobaa,policy-odf-status,policy-quay-bridge,policy-quay-status
       ZONES_COUNT: "3"
     post:
@@ -126,8 +141,6 @@ tests:
     - ref: acm-fetch-managed-clusters
     - ref: acm-opp-app
     - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
-    - ref: interop-tests-ocs-tests
     - ref: interop-tests-opp-quay-smoke
     - ref: interop-opp-skip-ratio-gate
 - as: interop-opp-vsphere
@@ -158,14 +171,14 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
-      ODF_VERSION_MAJOR_MINOR: "4.22"
+      ODF_OPERATOR_CHANNEL: stable-4.22
       OPENSHIFT_REQUIRED_CORES: "72"
       OPENSHIFT_REQUIRED_MEMORY: "288"
       OPERATORS: |
         [
           {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.17", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
         ]
-      RESOURCE_BIND_TIMEOUT: "180"
+      QUAY_OPERATOR_CHANNEL: stable-3.17
       SIZE_VARIANT: large
       SKIP_POLICIES: policy-acs,policy-acs-central-ca-bundle,policy-acs-central-status,policy-acs-monitor-certs,policy-acs-operator-central,policy-acs-sync-resources,policy-advanced-managed-cluster-security,policy-advanced-managed-cluster-status,policy-compliance-operator-install,policy-config-quay,policy-hub-quay-bridge,policy-install-quay,policy-observability-operator,policy-observability-storage,policy-observability-storage-status,policy-odf,policy-odf-cluster,policy-odf-noobaa,policy-odf-status,policy-quay-bridge,policy-quay-status
     post:
@@ -186,9 +199,6 @@ tests:
     - ref: acm-policies-openshift-plus-setup
     - ref: acm-policies-openshift-plus
     - ref: interop-opp-wait-mcp
-    - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
-    - ref: interop-tests-ocs-tests
     - ref: acm-opp-app
     - ref: interop-opp-skip-ratio-gate
     workflow: acm-ipi-vsphere
diff --git a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-fips-lpMainline-lp-interop.yaml b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-fips-lpMainline-lp-interop.yaml
index 881dae7432ca6..cafb3c54204f0 100644
--- a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-fips-lpMainline-lp-interop.yaml
+++ b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-fips-lpMainline-lp-interop.yaml
@@ -1,6 +1,6 @@
 base_images:
   clc-ui-e2e:
-    name: "2.17"
+    name: "2.18"
     namespace: acm-qe
     tag: clc-ui-e2e
   cli:
@@ -38,6 +38,20 @@ images:
     from: cli
     optional: true
     to: cli-with-skopeo
+  - dockerfile_literal: |
+      FROM registry.access.redhat.com/ubi9/openjdk-17:1.21
+      USER root
+      RUN microdnf install -y git gzip && microdnf clean all
+      RUN cd /tmp \
+          && curl -sLO https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/openshift-client-linux.tar.gz \
+          && curl -sL https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/sha256sum.txt \
+             | grep openshift-client-linux.tar.gz > /tmp/checksum.txt \
+          && test -s /tmp/checksum.txt \
+          && sha256sum -c /tmp/checksum.txt \
+          && tar xzf openshift-client-linux.tar.gz -C /usr/local/bin oc kubectl \
+          && rm -f openshift-client-linux.tar.gz /tmp/checksum.txt
+      USER 1001
+    to: acs-smoke-runner
 prowgen:
   enable_secrets_store_csi_driver: true
 releases:
@@ -84,11 +98,11 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
-      ODF_VERSION_MAJOR_MINOR: "5.1"
       OPERATORS: |
         [
-          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.17", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
+          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.18", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
         ]
+      QUAY_OPERATOR_CHANNEL: stable-3.17
       SKIP_POLICIES: policy-acs,policy-acs-central-ca-bundle,policy-acs-central-status,policy-acs-monitor-certs,policy-acs-operator-central,policy-acs-sync-resources,policy-advanced-managed-cluster-security,policy-advanced-managed-cluster-status,policy-compliance-operator-install,policy-config-quay,policy-hub-quay-bridge,policy-install-quay,policy-observability-operator,policy-observability-storage,policy-observability-storage-status,policy-odf,policy-odf-cluster,policy-odf-noobaa,policy-odf-status,policy-quay-bridge,policy-quay-status
       ZONES_COUNT: "3"
     post:
@@ -118,9 +132,6 @@ tests:
     - ref: acm-tests-clc-smoke
     - ref: acm-fetch-managed-clusters
     - ref: acm-opp-app
-    - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
-    - ref: interop-tests-ocs-tests
     - ref: interop-tests-opp-quay-smoke
     - ref: interop-opp-skip-ratio-gate
 zz_generated_metadata:
diff --git a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-lpMainline-lp-interop.yaml b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-lpMainline-lp-interop.yaml
index c1b989bd26a4b..a6ccf83b4934f 100644
--- a/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-lpMainline-lp-interop.yaml
+++ b/ci-operator/config/RedHatQE/interop-testing/RedHatQE-interop-testing-master__opp--ocp-5.1-lpMainline-lp-interop.yaml
@@ -42,6 +42,20 @@ images:
     from: cli
     optional: true
     to: cli-with-skopeo
+  - dockerfile_literal: |
+      FROM registry.access.redhat.com/ubi9/openjdk-17:1.21
+      USER root
+      RUN microdnf install -y git gzip && microdnf clean all
+      RUN cd /tmp \
+          && curl -sLO https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/openshift-client-linux.tar.gz \
+          && curl -sL https://mirror.openshift.com/pub/openshift-v4/clients/ocp/candidate-5.0/sha256sum.txt \
+             | grep openshift-client-linux.tar.gz > /tmp/checksum.txt \
+          && test -s /tmp/checksum.txt \
+          && sha256sum -c /tmp/checksum.txt \
+          && tar xzf openshift-client-linux.tar.gz -C /usr/local/bin oc kubectl \
+          && rm -f openshift-client-linux.tar.gz /tmp/checksum.txt
+      USER 1001
+    to: acs-smoke-runner
 prowgen:
   enable_secrets_store_csi_driver: true
 releases:
@@ -87,11 +101,11 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
-      ODF_VERSION_MAJOR_MINOR: "5.1"
       OPERATORS: |
         [
-          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.17", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
+          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.18", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
         ]
+      QUAY_OPERATOR_CHANNEL: stable-3.17
       SKIP_POLICIES: policy-acs,policy-acs-central-ca-bundle,policy-acs-central-status,policy-acs-monitor-certs,policy-acs-operator-central,policy-acs-sync-resources,policy-advanced-managed-cluster-security,policy-advanced-managed-cluster-status,policy-compliance-operator-install,policy-config-quay,policy-hub-quay-bridge,policy-install-quay,policy-observability-operator,policy-observability-storage,policy-observability-storage-status,policy-odf,policy-odf-cluster,policy-odf-noobaa,policy-odf-status,policy-quay-bridge,policy-quay-status
       ZONES_COUNT: "3"
     post:
@@ -121,9 +135,6 @@ tests:
     - ref: acm-tests-clc-smoke
     - ref: acm-fetch-managed-clusters
     - ref: acm-opp-app
-    - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
-    - ref: interop-tests-ocs-tests
     - ref: interop-tests-opp-quay-smoke
     - ref: interop-opp-skip-ratio-gate
 - as: interop-opp-vsphere
@@ -146,7 +157,6 @@ tests:
     cluster_profile: vsphere-elastic
     env:
       COMPUTE_NODE_REPLICAS: "6"
-      DISABLE_ENVIRONMENT_CHECKER: "true"
       DR__RP__CR_COMP_NAME: lp-interop--OPP
       FIREWATCH_CONFIG_FILE_PATH: https://raw.githubusercontent.com/CSPI-QE/cspi-utils/refs/heads/main/firewatch-base-configs/opp/lp-interop-vsphere.json
       FIREWATCH_DEFAULT_JIRA_ADDITIONAL_LABELS: '["5.1-lp","opp-vsphere-lp","opp-lp"]'
@@ -155,13 +165,13 @@ tests:
       FIREWATCH_DEFAULT_JIRA_PROJECT: LPINTEROP
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       MAP_TESTS: "true"
-      ODF_VERSION_MAJOR_MINOR: "5.1"
       OPENSHIFT_REQUIRED_CORES: "72"
       OPENSHIFT_REQUIRED_MEMORY: "288"
       OPERATORS: |
         [
-          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.17", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
+          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.18", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"}
         ]
+      QUAY_OPERATOR_CHANNEL: stable-3.17
       SIZE_VARIANT: large
       SKIP_POLICIES: policy-acs,policy-acs-central-ca-bundle,policy-acs-central-status,policy-acs-monitor-certs,policy-acs-operator-central,policy-acs-sync-resources,policy-advanced-managed-cluster-security,policy-advanced-managed-cluster-status,policy-compliance-operator-install,policy-config-quay,policy-hub-quay-bridge,policy-install-quay,policy-observability-operator,policy-observability-storage,policy-observability-storage-status,policy-odf,policy-odf-cluster,policy-odf-noobaa,policy-odf-status,policy-quay-bridge,policy-quay-status
     post:
@@ -182,9 +192,6 @@ tests:
     - ref: acm-policies-openshift-plus-setup
     - ref: acm-policies-openshift-plus
     - ref: interop-opp-wait-mcp
-    - ref: interop-opp-odf-health
-    - ref: interop-opp-observability-odf
-    - ref: interop-tests-ocs-tests
     - ref: acm-opp-app
     - ref: interop-opp-skip-ratio-gate
     workflow: acm-ipi-vsphere
diff --git a/ci-operator/config/stolostron/policy-collection/stolostron-policy-collection-main__ocp5.1-upgrade.yaml b/ci-operator/config/stolostron/policy-collection/stolostron-policy-collection-main__ocp5.1-upgrade.yaml
index 670e402ecdbfe..0dbe6eddb8ca6 100644
--- a/ci-operator/config/stolostron/policy-collection/stolostron-policy-collection-main__ocp5.1-upgrade.yaml
+++ b/ci-operator/config/stolostron/policy-collection/stolostron-policy-collection-main__ocp5.1-upgrade.yaml
@@ -64,7 +64,7 @@ tests:
       FIREWATCH_FAIL_WITH_TEST_FAILURES: "false"
       OPERATORS: |
         [
-          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.17", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"},
+          {"name": "advanced-cluster-management", "source": "redhat-operators", "channel": "release-2.18", "install_namespace": "ocm", "target_namespaces": "ocm", "operator_group": "acm-operator-group"},
           {"name": "quay-operator", "source": "redhat-operators", "channel": "stable-3.17", "install_namespace": "openshift-operators"}
         ]
       ZONES_COUNT: "3"
diff --git a/ci-operator/step-registry/acm/opp-app/acm-opp-app-commands.sh b/ci-operator/step-registry/acm/opp-app/acm-opp-app-commands.sh
index 8b0ba926db86b..a002177b03c98 100755
--- a/ci-operator/step-registry/acm/opp-app/acm-opp-app-commands.sh
+++ b/ci-operator/step-registry/acm/opp-app/acm-opp-app-commands.sh
@@ -35,7 +35,7 @@ _propagate_junit () {
 ################################################################################
 
 # cd to writable directory
-cd /tmp/ || exit 0
+cd /tmp/ || { echo "ERROR: Cannot cd to /tmp" >&2; exit 1; }
 
 # Define all test cases with initial "skipped" status
 typeset -A testStatus
@@ -406,6 +406,17 @@ fi
 : "====== Test Summary ======"
 : "All test results will be available in JUnit XML report"
 
-# Always exit 0 to allow subsequent test steps to run
-# Test results are reported via JUnit XML
-exit 0
+# Exit based on whether any test failed
+typeset _overall_status="PASS"
+for test in "${allTestCasesArr[@]}"; do
+    if [[ "${testStatus[${test}]}" == "failed" ]]; then
+        _overall_status="FAIL"
+        break
+    fi
+done
+
+if [[ "${_overall_status}" == "PASS" ]]; then
+    exit 0
+else
+    exit 1
+fi
diff --git a/ci-operator/step-registry/acm/opp-app/acm-opp-app-ref.yaml b/ci-operator/step-registry/acm/opp-app/acm-opp-app-ref.yaml
index 12f743acadbc4..5073923671b3a 100644
--- a/ci-operator/step-registry/acm/opp-app/acm-opp-app-ref.yaml
+++ b/ci-operator/step-registry/acm/opp-app/acm-opp-app-ref.yaml
@@ -4,6 +4,7 @@ ref:
   commands: acm-opp-app-commands.sh
   timeout: 1h0m0s
   grace_period: 5m0s
+  best_effort: true
   resources:
     requests:
       cpu: 10m
diff --git a/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-commands.sh b/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-commands.sh
index 62d85a3b8fa37..b68c4837a856a 100644
--- a/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-commands.sh
+++ b/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-commands.sh
@@ -16,6 +16,17 @@ if [[ -n "${QUAY_OPERATOR_CHANNEL}" ]]; then
   sed -i "/^    name: quay-operator$/a\\    channel: ${QUAY_OPERATOR_CHANNEL}" "${quayPolicyFile}"
   grep -A5 'name: quay-operator' "${quayPolicyFile}"
 fi
+
+# If ODF_OPERATOR_CHANNEL is set, patch the ODF operator subscription to pin the channel
+if [[ -n "${ODF_OPERATOR_CHANNEL}" ]]; then
+  if [[ ! "${ODF_OPERATOR_CHANNEL}" =~ ^[A-Za-z0-9][A-Za-z0-9._-]*$ ]]; then
+    echo "Invalid ODF_OPERATOR_CHANNEL: ${ODF_OPERATOR_CHANNEL}" >&2
+    exit 1
+  fi
+  typeset odfPolicyFile="../policygenerator/policy-sets/stable/openshift-plus/input-odf/policy-odf.yaml"
+  sed -i "/^    name: odf-operator$/a\\    channel: ${ODF_OPERATOR_CHANNEL}" "${odfPolicyFile}"
+  grep -A5 'name: odf-operator' "${odfPolicyFile}"
+fi
 echo 'y' | ./deploy.sh -p policygenerator/policy-sets/stable/openshift-plus -n policies -u https://github.com/stolostron/policy-collection.git -a openshift-plus
 
 # openshift-plus generates ~25 policies; require 4+ before oc wait to avoid
diff --git a/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-ref.yaml b/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-ref.yaml
index 850d2d7a38937..0978f341ba382 100644
--- a/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-ref.yaml
+++ b/ci-operator/step-registry/acm/policies/openshift-plus/acm-policies-openshift-plus-ref.yaml
@@ -18,5 +18,11 @@ ref:
       When set, overrides the Quay operator subscription channel in the policy-collection
       policy template before deploying. Use to pin a specific channel (e.g. stable-3.17)
       when the catalog default channel is incorrect or outdated.
+  - name: ODF_OPERATOR_CHANNEL
+    default: ""
+    documentation: |-
+      When set, overrides the ODF operator subscription channel in the policy-collection
+      policy template before deploying. Use to pin a specific channel (e.g. stable-4.22)
+      when the catalog default channel is incorrect or outdated.
   documentation: |-
     Setup and apply the openshift-plus policyset.
diff --git a/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-commands.sh b/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-commands.sh
index 74eae0133fb56..d3f18c4f56abc 100644
--- a/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-commands.sh
+++ b/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-commands.sh
@@ -44,7 +44,10 @@ RBAC_PASS=$(cat $SECRETS_DIR/grc/rbac-pass)
 export RBAC_PASS
 
 # run the test execution script
-./execute_grc_interop_commands.sh || :
+typeset -i _test_rc=0
+./execute_grc_interop_commands.sh || _test_rc=$?
 
 # Copy the test cases results to an external directory
-cp -r test-output/cypress $ARTIFACT_DIR/
\ No newline at end of file
+cp -r test-output/cypress "$ARTIFACT_DIR/" || true
+
+exit "${_test_rc}"
diff --git a/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-ref.yaml b/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-ref.yaml
index 881308bb55f58..ec334510b5d3c 100644
--- a/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-ref.yaml
+++ b/ci-operator/step-registry/acm/tests/grc/acm-tests-grc-ref.yaml
@@ -4,6 +4,7 @@ ref:
   commands: acm-tests-grc-commands.sh
   timeout: 28800s
   grace_period: 15m0s
+  best_effort: true
   resources:
     requests:
       cpu: '2'
diff --git a/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-commands.sh b/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-commands.sh
index ca5cc94325175..2e20ddfda475c 100644
--- a/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-commands.sh
+++ b/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-commands.sh
@@ -62,6 +62,7 @@ MANAGED_CLUSTER_PASS="$(cat "${SHARED_DIR}/managed.cluster.password" 2>/dev/null
 set -x
 
 # Run Observability tests with all required environment variables
+typeset -i _test_rc=0
 OC_CLUSTER_USER="kubeadmin" \
 BASE_DOMAIN="$(oc get ingress.config.openshift.io/cluster -ojson | jq -r '.spec.domain | sub("apps\\."; "")')" \
 OC_HUB_CLUSTER_API_URL="$(oc whoami --show-server)" \
@@ -70,7 +71,7 @@ MANAGED_CLUSTER_API_URL="$(cat "${SHARED_DIR}/managed.cluster.api.url" 2>/dev/nu
 MANAGED_CLUSTER_NAME="$(cat "${SHARED_DIR}/managed.cluster.name" 2>/dev/null || true)" \
 MANAGED_CLUSTER_BASE_DOMAIN="$(cat "${SHARED_DIR}/managed.cluster.base.domain" 2>/dev/null || true)" \
 MANAGED_CLUSTER_USER="$(cat "${SHARED_DIR}/managed.cluster.username" 2>/dev/null || true)" \
-bash +x ./execute_obs_interop_commands.sh || :
+bash +x ./execute_obs_interop_commands.sh || _test_rc=$?
 
 unset PARAM_AWS_SECRET_ACCESS_KEY PARAM_AWS_ACCESS_KEY_ID OC_HUB_CLUSTER_PASS MANAGED_CLUSTER_PASS
 
@@ -80,8 +81,8 @@ if [[ -f /tmp/acm-policy-subscription-backup.yaml ]]; then
 fi
 
 : Copy the test cases results to an external directory
-cp -r tests/pkg/tests "${ARTIFACT_DIR}/"
+cp -r tests/pkg/tests "${ARTIFACT_DIR}/" || true
 
-mv "${ARTIFACT_DIR}/tests/results.xml" "${ARTIFACT_DIR}/tests/junit_results.xml"
+mv "${ARTIFACT_DIR}/tests/results.xml" "${ARTIFACT_DIR}/tests/junit_results.xml" || true
 
-true
+exit "${_test_rc}"
diff --git a/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-ref.yaml b/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-ref.yaml
index 3190352d5db8a..5a99d255a6e9e 100644
--- a/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-ref.yaml
+++ b/ci-operator/step-registry/acm/tests/observability/acm-tests-observability-ref.yaml
@@ -4,6 +4,7 @@ ref:
   commands: acm-tests-observability-commands.sh
   timeout: 28800s
   grace_period: 15m0s
+  best_effort: true
   resources:
     requests:
       cpu: '2'
diff --git a/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-commands.sh b/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-commands.sh
index ba1faa8f86797..61bd8ce15990f 100755
--- a/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-commands.sh
+++ b/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-commands.sh
@@ -4,7 +4,7 @@ set -euo pipefail; shopt -s inherit_errexit
 # === Known-Issue Skip Framework ===
 # This script uses _detect_known_issue() to emit JUnit SKIPPED results
 # for tracked bugs instead of failing the job. Unknown failures still FAIL.
-# Tracked issues: INTEROP-9455
+# Tracked issues: INTEROP-9518, INTEROP-9519
 # See PR review Fix 3 for rationale.
 
 # --- Trace-to-file: always capture, dump on failure only ---
@@ -805,39 +805,59 @@ function Main () {
     : "ODF namespace: ${odfNamespace}"
     : "Artifacts dir: ${ARTIFACT_DIR}"
 
+    _known_issue_active=false
+
     CheckRgwReady          || true
+    echo ">>> CHECK 1: ${tcNamesArr[-1]} — ${tcResultsArr[-1]} ${tcMessagesArr[-1]:+(${tcMessagesArr[-1]})}"
     CheckMcoReady          || true
+    echo ">>> CHECK 2: ${tcNamesArr[-1]} — ${tcResultsArr[-1]} ${tcMessagesArr[-1]:+(${tcMessagesArr[-1]})}"
+    if [[ "${tcResultsArr[-1]}" == "pass" ]]; then
+        echo ">>> Waiting 45s for Thanos metrics ingestion after MCO Ready..."
+        sleep 45
+    fi
     CheckStorageEndpoint   || true
+    echo ">>> CHECK 3: ${tcNamesArr[-1]} — ${tcResultsArr[-1]} ${tcMessagesArr[-1]:+(${tcMessagesArr[-1]})}"
     CheckThanosHealth      || true
+    echo ">>> CHECK 4: ${tcNamesArr[-1]} — ${tcResultsArr[-1]} ${tcMessagesArr[-1]:+(${tcMessagesArr[-1]})}"
     CheckObcBound          || true
+    echo ">>> CHECK 5: ${tcNamesArr[-1]} — ${tcResultsArr[-1]} ${tcMessagesArr[-1]:+(${tcMessagesArr[-1]})}"
     CheckThanosQuery       || true
+    echo ">>> CHECK 6: ${tcNamesArr[-1]} — ${tcResultsArr[-1]} ${tcMessagesArr[-1]:+(${tcMessagesArr[-1]})}"
 
     typeset -i _idx=0
     for _idx in "${!tcResultsArr[@]}"; do
         if [[ "${tcNamesArr[$_idx]}" == "thanos-query" \
             && "${tcResultsArr[$_idx]}" == "fail" \
             && "${tcMessagesArr[$_idx]}" == *"returned empty result vector"* ]]; then
-            # Known-issue skip: INTEROP-9455
+            # Known-issue skip: INTEROP-9518
             # Added: 2026-09-21
-            # Review-by: 2026-12-21 (or when INTEROP-9455 is resolved)
+            # Review-by: 2026-12-21 (or when INTEROP-9518 is resolved)
             # Owner: OPP-interop team
-            _detect_known_issue "${tcMessagesArr[$_idx]}" "INTEROP-9455" \
+            _detect_known_issue "${tcMessagesArr[$_idx]}" "INTEROP-9518" \
                 "Thanos query returns empty result during observability convergence"
             tcResultsArr[$_idx]="skip"
+            _known_issue_active=true
         fi
     done
 
     WriteJunit
 
-    typeset r=""
-    for r in "${tcResultsArr[@]}"; do
-        if [[ "${r}" == "fail" ]]; then
-            : "ACM Observability + ODF Interop: SOME CHECKS FAILED"
-            exit 1
+    _has_genuine_fail=false
+    for _idx in "${!tcResultsArr[@]}"; do
+        if [[ "${tcResultsArr[$_idx]}" == "fail" ]]; then
+            if ${_known_issue_active:-false}; then
+                _detect_known_issue "${tcMessagesArr[$_idx]}" "INTEROP-9519" \
+                    "Cascaded skip: ${tcNamesArr[$_idx]} failed — downstream of known convergence issue"
+                tcResultsArr[$_idx]="skip"
+            else
+                _has_genuine_fail=true
+            fi
         fi
     done
-
-    : "ACM Observability + ODF Interop: ALL PASSED"
+    if ${_has_genuine_fail}; then
+        exit 1
+    fi
+    : "ACM Observability + ODF Interop: ALL CHECKS PASSED OR SKIPPED (known issue)"
     exit 0
 }
 
diff --git a/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-ref.yaml b/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-ref.yaml
index e8f25f5d1fe5f..a3eeae032ad88 100644
--- a/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-ref.yaml
+++ b/ci-operator/step-registry/interop/opp/observability-odf/interop-opp-observability-odf-ref.yaml
@@ -27,7 +27,10 @@ ref:
     documentation: Namespace where ODF is installed
     name: ODF_NAMESPACE
   # NOTE: best_effort was intentionally removed to surface step failures.
-  # Known-issue skips (INTEROP-9455) now handle expected failures explicitly.
+  # Known-issue skips (INTEROP-9518) now handle expected failures explicitly.
+  # When a known issue is detected, downstream failures are cascade-skipped
+  # (INTEROP-9519) to avoid noise from secondary failures caused by the root
+  # known issue.
   from: cli
   grace_period: 30s
   resources:
diff --git a/ci-operator/step-registry/interop/opp/skip-ratio-gate/interop-opp-skip-ratio-gate-commands.sh b/ci-operator/step-registry/interop/opp/skip-ratio-gate/interop-opp-skip-ratio-gate-commands.sh
index d21c6730b47bf..76225678dc1c2 100755
--- a/ci-operator/step-registry/interop/opp/skip-ratio-gate/interop-opp-skip-ratio-gate-commands.sh
+++ b/ci-operator/step-registry/interop/opp/skip-ratio-gate/interop-opp-skip-ratio-gate-commands.sh
@@ -116,7 +116,12 @@ def main():
         sys.exit(1)
     shared_dir = os.environ.get("SHARED_DIR", "")
     shared_junit = os.path.join(shared_dir, "junit") if shared_dir else ""
-    junit_dir = os.environ.get("JUNIT_DIR", "") or (shared_junit if os.path.isdir(shared_junit) else "") or os.environ.get("ARTIFACT_DIR", "")
+    junit_dir = (
+        os.environ.get("JUNIT_DIR", "")
+        or (shared_junit if os.path.isdir(shared_junit) else "")
+        or (shared_dir if shared_dir and any(Path(shared_dir).rglob("*.xml")) else "")
+        or os.environ.get("ARTIFACT_DIR", "")
+    )
     fail_on_breach = os.environ.get("FAIL_ON_BREACH", "true").lower() != "false"
     artifact_dir = os.environ.get("ARTIFACT_DIR", junit_dir)