fix: smart path detection for local and HF layouts

environment.py

@@ -25,8 +25,11 @@ from collections import deque
 from pathlib import Path
 from typing import Any, Callable, Optional
 
-# -- Ensure project root is importable (HF Space: all files in WORKDIR) --------
-_ROOT = Path(__file__).resolve().parent.parent
+# -- Ensure project root is importable (Handles both Local and HF layouts) ---
+_ROOT = Path(__file__).resolve().parent
+if _ROOT.name == "server":
+    _ROOT = _ROOT.parent
+
 if str(_ROOT) not in sys.path:
     sys.path.insert(0, str(_ROOT))