diff --git a/PostFundManagement.Application/Mcp/Records.cs b/PostFundManagement.Application/Mcp/Records.cs
index dbf2d66..4da83eb 100644
--- a/PostFundManagement.Application/Mcp/Records.cs
+++ b/PostFundManagement.Application/Mcp/Records.cs
@@ -3,7 +3,7 @@ namespace PostFundManagement.Application.Mcp;
 /// <summary>
 /// Token-optimized standardized tool response wrapper for MCP tool execution.
 /// </summary>
-public record Records<T>(bool Success, T? Data = default, string? Message = null, IReadOnlyList<string>? Errors = null)
+public record Records<T>(bool Success, T? Data, string? Message = null, IReadOnlyList<string>? Errors = null)
 {
     public static Records<T> Ok(T data, string? message = null) => new(true, data, message, null);
 
diff --git a/PostFundManagement.Tests/McpToolingTests.cs b/PostFundManagement.Tests/McpToolingTests.cs
index 0e887fb..7231929 100644
--- a/PostFundManagement.Tests/McpToolingTests.cs
+++ b/PostFundManagement.Tests/McpToolingTests.cs
@@ -35,6 +35,63 @@ public class McpToolingTests
         _serviceProvider = services.BuildServiceProvider();
     }
 
+    [Fact]
+    public void McpServer_WithApplicationMcpTools_SchemaGeneration_Succeeds()
+    {
+        var services = new ServiceCollection();
+        services.AddLogging();
+        services.AddSingleton<IGrantsService, TestGrantsService>();
+        services.AddSingleton<IProjectService, TestProjectService>();
+        services.AddSingleton<IExecutionService, TestExecutionService>();
+        services.AddSingleton<IGovernanceService, TestGovernanceService>();
+        services.AddSingleton<IEvidenceService, TestEvidenceService>();
+        services.AddSingleton<ICommunicationsService, TestCommunicationsService>();
+        services.AddSingleton<IUserService, TestUserService>();
+        services.AddApplicationMcpTools();
+
+        var mcpBuilder = services.AddMcpServer();
+        mcpBuilder.WithApplicationMcpTools();
+
+        var sp = services.BuildServiceProvider();
+        var tools = sp.GetServices<ModelContextProtocol.Server.McpServerTool>().ToList();
+        Assert.NotEmpty(tools);
+        Assert.True(tools.Count >= 40, $"Expected at least 40 MCP server tools, but found {tools.Count}");
+    }
+
+    [Theory]
+    [InlineData(typeof(GrantsMcpTools))]
+    [InlineData(typeof(ProjectsMcpTools))]
+    [InlineData(typeof(ExecutionMcpTools))]
+    [InlineData(typeof(GovernanceMcpTools))]
+    [InlineData(typeof(EvidenceMcpTools))]
+    [InlineData(typeof(CommunicationsMcpTools))]
+    [InlineData(typeof(UsersMcpTools))]
+    public void McpServer_ToolsSchemaGeneration_Succeeds(Type toolType)
+    {
+        var services = new ServiceCollection();
+        services.AddLogging();
+        services.AddSingleton<IGrantsService, TestGrantsService>();
+        services.AddSingleton<IProjectService, TestProjectService>();
+        services.AddSingleton<IExecutionService, TestExecutionService>();
+        services.AddSingleton<IGovernanceService, TestGovernanceService>();
+        services.AddSingleton<IEvidenceService, TestEvidenceService>();
+        services.AddSingleton<ICommunicationsService, TestCommunicationsService>();
+        services.AddSingleton<IUserService, TestUserService>();
+        services.AddApplicationMcpTools();
+
+        var mcpBuilder = services.AddMcpServer();
+        // Register just the one tool type using reflection
+        var withToolsMethod = typeof(Microsoft.Extensions.DependencyInjection.McpServerBuilderExtensions)
+            .GetMethods()
+            .First(m => m.Name == "WithTools" && m.IsGenericMethodDefinition && m.GetParameters().Length == 2)
+            .MakeGenericMethod(toolType);
+        withToolsMethod.Invoke(null, new object?[] { mcpBuilder, null });
+
+        var sp = services.BuildServiceProvider();
+        var tools = sp.GetServices<ModelContextProtocol.Server.McpServerTool>().ToList();
+        Assert.NotEmpty(tools);
+    }
+
     [Fact]
     public void AddApplicationMcpTools_RegistersAllToolTypesAndInAppClient()
     {