Azure function app removes host.json and local.settings.json

### Description

i have an azure function app running on :

dotnet: 8
function app version: v4
model: isolated

i have been using this function app to render razor components by setting the the csproj file to Sdk="Microsoft.NET.Sdk.Razor" referred at [here](https://learn.microsoft.com/en-us/aspnet/core/blazor/components/render-components-outside-of-aspnetcore?preserve-view=true&view=aspnetcore-8.0)

```

net8.0
v4
Exe
enable
enable























PreserveNewest


PreserveNewest
Never

```

### Steps to reproduce

I have been using the `Microsoft.Azure.Functions.Worker.Sdk` version 1.16.4 and all were working fine.

Today i updated the `Microsoft.Azure.Functions.Worker.Sdk` version to 1.17.4 and then the app started to hang and the console gave me this


I noticed that the host.json and local.settings.json file got automatically removed from the visual studio solution explorer. so i included them back to the project and rerunning the project still gave me the above error in the image. but when i downgraded the `Microsoft.Azure.Functions.Worker.Sdk` version to 1.16.4 then the host.json and local.settings.json show up again and the azure function app worked.

Why does it break on `Microsoft.Azure.Functions.Worker.Sdk` version 1.17.4?

please help

Start by comparing the shown .csproj and the Microsoft.Azure.Functions.Worker.Sdk versions 1.16.4 and 1.17.4, focusing on how host.json and local.settings.json are included and copied. Reproduce the hang with the newer SDK and verify whether the files disappear from Solution Explorer or the output; done means identifying the regression and a confirmed resolution.

Written by the indexing model from the issue text.