Repository - Reports as Ready even though the status.atProvider.Status == Failed

[patpicos]

What happened?

Deployed a resource of kind Repository and the resource status is showing as Ready even though there was a failure. As a result, we cannot properly report the health of the resource in the ArgoCD application that created it. While i understand the repo name is URL is incorrect, the managed resource should not show as Ready = True when the external resource is failed

Relevant details from the resource status and conditions:

status:
  atProvider:
    connectionState:
      attemptedAt: '2024-11-13T21:45:06Z'
      message: >-
        Unable to connect to repository: rpc error: code = Unknown desc = error
        testing repository connectivity: Get
        "None/packages/helm/stable/index.yaml": unsupported protocol scheme ""
      status: Failed
  conditions:
    - lastTransitionTime: '2024-11-13T17:45:01Z'
      reason: Available
      status: 'True'
      type: Ready
    - lastTransitionTime: '2024-11-13T17:45:00Z'
      reason: ReconcileSuccess
      status: 'True'
      type: Synced

How can we reproduce it?

See the Managed Resource below

apiVersion: repositories.argocd.crossplane.io/v1alpha1
kind: Repository
metadata:
  annotations:
    crossplane.io/composition-resource-name: nk-ndc-rtwdt-argocd-repo-helm-us-east-1
    crossplane.io/external-create-pending: '2024-11-13T17:45:00Z'
    crossplane.io/external-create-succeeded: '2024-11-13T17:45:00Z'
    crossplane.io/external-name: None/packages/helm/stable/
  creationTimestamp: '2024-11-13T17:45:00Z'
  finalizers:
    - finalizer.managedresource.crossplane.io
  generateName: nk-ndc-rtwdt-
  generation: 3
  labels:
    crossplane.io/claim-name: nk-ndc
    crossplane.io/claim-namespace: isv-onboarding-continuous-deployment
    crossplane.io/composite: nk-ndc-rtwdt
  name: nk-ndc-rtwdt-argocd-repo-helm-us-east-1
  ownerReferences:
    - apiVersion: onboarding.gitops.k8s.dish.io/v1beta1
      blockOwnerDeletion: true
      controller: true
      kind: XIsvContinuousDeployment
      name: nk-ndc-rtwdt
      uid: b4c64557-bf0d-494c-ad9c-5054eb3e3773
  resourceVersion: '21208721'
  uid: c3683a41-d6c2-442b-b364-d0a1f8ef5dae
spec:
  deletionPolicy: Orphan
  forProvider:
    enableLfs: false
    enableOCI: false
    inheritedCreds: false
    insecure: true
    name: nk-ndc-argocd-prj-dev-helm-repo
    project: nk-ndc-us-east-1-argocd-prj-dev
    repo: >-
      https://portal.cicd.gitlab.int.aws.sourced.io/api/v4/projects/558/packages/helm/stable/
    type: helm
  managementPolicies:
    - Create
    - Delete
    - LateInitialize
    - Observe
    - Update
  providerConfigRef:
    name: rmc-us-east-1-dev-argocd-provider-config
status:
  atProvider:
    connectionState:
      attemptedAt: '2024-11-13T21:45:06Z'
      message: >-
        Unable to connect to repository: rpc error: code = Unknown desc = error
        testing repository connectivity: Get
        "None/packages/helm/stable/index.yaml": unsupported protocol scheme ""
      status: Failed
  conditions:
    - lastTransitionTime: '2024-11-13T17:45:01Z'
      reason: Available
      status: 'True'
      type: Ready
    - lastTransitionTime: '2024-11-13T17:45:00Z'
      reason: ReconcileSuccess
      status: 'True'
      type: Synced

What environment did it happen in?

Crossplane version: 1.16
Crossplane Provider argocd version: 0.9.0

[patpicos]

Note for anyone interested, the ArgoCD Health-check can be adapted by including this kind of check. However, I still believe having reliable conditions is the way to go

        -- Shortcut for resources with atProvider state such as repositories.argocd.crossplane.io
        if obj.status.atProvider then
          if obj.status.atProvider.connectionState then
            if obj.status.atProvider.connectionState.status == "Failed" then
              health_status.status = "Degraded"
              health_status.message = obj.status.atProvider.connectionState.message
              return health_status
            end
          end
        end