vscode-python seems to break region folding

[jrobbins-LiveData]

I attempted a full uninstall of VSCode using the steps listed here. I then installed VSCode version

Version: 1.63.2 (system setup)
Commit: 899d46d82c4c95423fb7e10e68eba52050e30ba3
Date: 2021-12-15T09:40:02.816Z
Electron: 13.5.2
Chromium: 91.0.4472.164
Node.js: 14.16.0
V8: 9.1.269.39-electron.0
OS: Windows_NT x64 10.0.19044

With no extensions loaded, I can fold # region ... # endregion regions in my code using the "V" in the gutter

But, by simply installing this extension (which I have been using and appreciating for months), that "V" in the gutter no longer appears. Also, commands in the Command Palette, such as "Fold All Regions", cease functioning.

Is there some configuration setting I need to change to make region folding work again with this extension loaded?

[fpapouin]

I roll back pylance to 2022.1.0 (broken in 2022.1.1) as a workaround

[jrobbins-LiveData]

@fpapouin perfect, that fixed it for me! Thank you very much!!

[brettcannon]

Did either of you open an issue on github.com/microsoft/pylance-release by any chance?

[jrobbins-LiveData]

It seemed to me that microsoft/pylance-release#2244 already captured the issue, so I didn't open one.

[jrobbins-LiveData]

And now it is fixed! microsoft/pylance-release#2244 (comment)