diff --git a/modules/project-factory/projects.tf b/modules/project-factory/projects.tf
index cb7af607a..1366b9c8b 100644
--- a/modules/project-factory/projects.tf
+++ b/modules/project-factory/projects.tf
@@ -106,6 +106,7 @@ module "projects" {
   factories_config = {
     custom_roles           = try(each.value.factories_config.custom_roles, null)
     org_policies           = try(each.value.factories_config.org_policies, null)
+    observability          = try(each.value.factories_config.observability, null)
     quotas                 = try(each.value.factories_config.quotas, null)
     scc_sha_custom_modules = try(each.value.factories_config.scc_sha_custom_modules, null)
     tags                   = try(each.value.factories_config.tags, null)
diff --git a/modules/project/alerts.tf b/modules/project/alerts.tf
index 72b5122e1..ef2139c06 100644
--- a/modules/project/alerts.tf
+++ b/modules/project/alerts.tf
@@ -1,5 +1,5 @@
 /**
- * Copyright 2025 Google LLC
+ * Copyright 2026 Google LLC
  *
  * Licensed under the Apache License, Version 2.0 (the "License");
  * you may not use this file except in compliance with the License.
@@ -79,22 +79,18 @@ locals {
             rule_group                = try(c.condition_prometheus_query_language.rule_group, null)
           }
           condition_threshold = !can(c.condition_threshold) ? null : {
-            comparison         = c.condition_threshold.comparison
-            duration           = c.condition_threshold.duration
-            denominator_filter = try(c.condition_threshold.denominator_filter, null)
-
-
+            comparison              = c.condition_threshold.comparison
+            duration                = c.condition_threshold.duration
+            denominator_filter      = try(c.condition_threshold.denominator_filter, null)
             evaluation_missing_data = try(c.condition_threshold.evaluation_missing_data, null)
             filter                  = try(c.condition_threshold.filter, null)
             threshold_value         = try(c.condition_threshold.threshold_value, null)
-            aggregations = !can(c.condition_threshold.aggregations) ? null : [
-              for a in c.condition_threshold.aggregations : {
-                per_series_aligner   = try(a.per_series_aligner, null)
-                group_by_fields      = try(a.group_by_fields, null)
-                cross_series_reducer = try(a.cross_series_reducer, null)
-                alignment_period     = try(a.alignment_period, null)
-              }
-            ]
+            aggregations = !can(c.condition_threshold.aggregations) ? null : {
+              per_series_aligner   = try(c.condition_threshold.aggregations.per_series_aligner, null)
+              group_by_fields      = try(c.condition_threshold.aggregations.group_by_fields, null)
+              cross_series_reducer = try(c.condition_threshold.aggregations.cross_series_reducer, null)
+              alignment_period     = try(c.condition_threshold.aggregations.alignment_period, null)
+            }
             denominator_aggregations = !can(c.condition_threshold.denominator_aggregations) ? null : {
               per_series_aligner   = try(c.condition_threshold.denominator_aggregations.per_series_aligner, null)
               group_by_fields      = try(c.condition_threshold.denominator_aggregations.group_by_fields, null)
@@ -116,7 +112,7 @@ locals {
         mime_type = try(v.documentation.mime_type, null)
         subject   = try(v.documentation.subject, null)
         links = !can(v.documentation.links) ? null : [
-          for l in v.documentation.link : {
+          for l in v.documentation.links : {
             display_name = try(l.display_name, null)
             url          = try(l.url, null)
         }]
@@ -207,9 +203,12 @@ resource "google_monitoring_alert_policy" "alerts" {
           duration                = condition_monitoring_query_language.value.duration
           query                   = condition_monitoring_query_language.value.query
           evaluation_missing_data = condition_monitoring_query_language.value.evaluation_missing_data
-          trigger {
-            count   = condition_monitoring_query_language.value.trigger.count
-            percent = condition_monitoring_query_language.value.trigger.percent
+          dynamic "trigger" {
+            for_each = condition_monitoring_query_language.value.trigger[*]
+            content {
+              count   = trigger.value.count
+              percent = trigger.value.percent
+            }
           }
         }
       }
@@ -247,9 +246,10 @@ resource "google_monitoring_alert_policy" "alerts" {
           dynamic "denominator_aggregations" {
             for_each = condition_threshold.value.denominator_aggregations[*]
             content {
-              alignment_period   = denominator_aggregations.value.alignment_period
-              group_by_fields    = denominator_aggregations.value.group_by_fields
-              per_series_aligner = denominator_aggregations.value.per_series_aligner
+              alignment_period     = denominator_aggregations.value.alignment_period
+              cross_series_reducer = denominator_aggregations.value.cross_series_reducer
+              group_by_fields      = denominator_aggregations.value.group_by_fields
+              per_series_aligner   = denominator_aggregations.value.per_series_aligner
             }
           }
           dynamic "forecast_options" {
diff --git a/tests/fast/stages/s0_org_setup/hardened.yaml b/tests/fast/stages/s0_org_setup/hardened.yaml
index b368bff04..7de8af8e5 100644
--- a/tests/fast/stages/s0_org_setup/hardened.yaml
+++ b/tests/fast/stages/s0_org_setup/hardened.yaml
@@ -1,4 +1,4 @@
-# Copyright 2025 Google LLC
+# Copyright 2026 Google LLC
 #
 # Licensed under the Apache License, Version 2.0 (the "License");
 # you may not use this file except in compliance with the License.
@@ -7660,6 +7660,7 @@ values:
     organization: '1234567890'
     timeouts: null
   module.organization[0].google_tags_tag_key.default["context"]:
+    allowed_values_regex: null
     description: Organization-level contexts.
     parent: organizations/1234567890
     purpose: null
@@ -7667,6 +7668,7 @@ values:
     short_name: context
     timeouts: null
   module.organization[0].google_tags_tag_key.default["environment"]:
+    allowed_values_regex: null
     description: Organization-level environments.
     parent: organizations/1234567890
     purpose: null
@@ -7674,6 +7676,7 @@ values:
     short_name: environment
     timeouts: null
   module.organization[0].google_tags_tag_key.default["org-policies"]:
+    allowed_values_regex: null
     description: Organization policy condition tags.
     parent: organizations/1234567890
     purpose: null
@@ -8057,15 +8060,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.organization_id
-          - metric.label.folder_id
-          - metric.label.project_id
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8116,13 +8114,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.project_id
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8177,14 +8172,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.project_id
-          - metric.label.database_id
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8231,15 +8222,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.organization_id
-          - metric.label.project_id
-          - metric.label.role_name
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8280,12 +8266,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8327,14 +8311,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.project_id
-          - metric.label.firewall_rule_id
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8375,14 +8355,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.project_id
-          - metric.label.network_id
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8425,14 +8401,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.project_id
-          - metric.label.route_id
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8472,15 +8444,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.organization_id
-          - metric.label.folder_id
-          - metric.label.project_id
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null
@@ -8522,15 +8489,10 @@ values:
       condition_sql: []
       condition_threshold:
       - aggregations:
-        - alignment_period: 60s
-          cross_series_reducer: REDUCE_SUM
-          group_by_fields:
-          - metric.label.principal
-          - metric.label.method_name
-          - metric.label.project_id
-          - metric.label.location
-          - metric.label.bucket_name
-          per_series_aligner: ALIGN_SUM
+        - alignment_period: null
+          cross_series_reducer: null
+          group_by_fields: null
+          per_series_aligner: null
         comparison: COMPARISON_GT
         denominator_aggregations: []
         denominator_filter: null