diff --git a/eng/Version.Details.xml b/eng/Version.Details.xml
index 5dbf0209c71d..5ca3359c79e5 100644
--- a/eng/Version.Details.xml
+++ b/eng/Version.Details.xml
@@ -186,7 +186,7 @@
     </Dependency>
     <Dependency Name="Microsoft.SourceBuild.Intermediate.source-build-externals" Version="7.0.0-alpha.1.22402.1">
       <Uri>https://github.com/dotnet/source-build-externals</Uri>
-      <Sha>26a8684b136d79c3d35b4c5c512858f932c57705</Sha>
+      <Sha>85d7e996e497861648ffbfd0e929b2b627ce7f46</Sha>
       <SourceBuild RepoName="source-build-externals" ManagedOnly="true" />
     </Dependency>
     <Dependency Name="Microsoft.SourceBuild.Intermediate.symreader" Version="1.4.0-beta2-21475-02">
diff --git a/eng/Versions.props b/eng/Versions.props
index e398d7c74bd8..8dbce36cf855 100644
--- a/eng/Versions.props
+++ b/eng/Versions.props
@@ -191,6 +191,7 @@
       necessary, and this property is removed from the file.
     -->
     <PrivateSourceBuiltArtifactsPackageVersion>0.1.0-7.0.100-bootstrap.7</PrivateSourceBuiltArtifactsPackageVersion>
+    <PrivateSourceBuiltPrebuiltsPackageVersion>0.1.0-7.0.100-2</PrivateSourceBuiltPrebuiltsPackageVersion>
   </PropertyGroup>
   <!-- Workload manifest package versions -->
   <PropertyGroup>
diff --git a/src/SourceBuild/tarball/content/test/Microsoft.DotNet.SourceBuild.SmokeTests/DotNetWatchTests.cs b/src/SourceBuild/tarball/content/test/Microsoft.DotNet.SourceBuild.SmokeTests/DotNetWatchTests.cs
index 18331103782b..f2dc2a75ba66 100644
--- a/src/SourceBuild/tarball/content/test/Microsoft.DotNet.SourceBuild.SmokeTests/DotNetWatchTests.cs
+++ b/src/SourceBuild/tarball/content/test/Microsoft.DotNet.SourceBuild.SmokeTests/DotNetWatchTests.cs
@@ -13,7 +13,8 @@ public class DotNetWatchTests : SmokeTests
 {
     public DotNetWatchTests(ITestOutputHelper outputHelper) : base(outputHelper) { }
 
-    [Fact]
+    // TODO: Re-enable https://github.com/dotnet/source-build/issues/2961
+    // [Fact]
     public void WatchTests()
     {
         string projectDirectory = DotNetHelper.ExecuteNew(DotNetTemplate.Console.GetName(), nameof(DotNetWatchTests));
diff --git a/src/SourceBuild/tarball/content/tools-local/tasks/Microsoft.DotNet.SourceBuild.Tasks.XPlat/UpdateNuGetConfigPackageSourcesMappings.cs b/src/SourceBuild/tarball/content/tools-local/tasks/Microsoft.DotNet.SourceBuild.Tasks.XPlat/UpdateNuGetConfigPackageSourcesMappings.cs
index 9172566b3419..b0d9b940e1a2 100644
--- a/src/SourceBuild/tarball/content/tools-local/tasks/Microsoft.DotNet.SourceBuild.Tasks.XPlat/UpdateNuGetConfigPackageSourcesMappings.cs
+++ b/src/SourceBuild/tarball/content/tools-local/tasks/Microsoft.DotNet.SourceBuild.Tasks.XPlat/UpdateNuGetConfigPackageSourcesMappings.cs
@@ -47,11 +47,12 @@ public override bool Execute()
             }
 
             // Union all package sources to get the distinct list.  These will get added to the source-build sources.
-            IEnumerable<string> packagePatterns = pkgSrcMappingElement.Descendants()
+            string[] packagePatterns = pkgSrcMappingElement.Descendants()
                 .Where(e => e.Name == "packageSource")
                 .SelectMany(e => e.Descendants().Where(e => e.Name == "package"))
                 .Select(e => e.Attribute("pattern").Value)
-                .Distinct();
+                .Distinct()
+                .ToArray();
 
             if (!BuildWithOnlineSources)
             {
@@ -60,6 +61,11 @@ public override bool Execute()
             }
 
             XElement pkgSrcMappingClearElement = pkgSrcMappingElement.Descendants().FirstOrDefault(e => e.Name == "clear");
+            if (pkgSrcMappingClearElement == null)
+            {
+                pkgSrcMappingClearElement = new XElement("clear");
+                pkgSrcMappingElement.AddFirst(pkgSrcMappingClearElement);
+            }
 
             foreach (string packageSource in SourceBuildSources)
             {
@@ -69,15 +75,7 @@ public override bool Execute()
                     pkgSrc.Add(new XElement("package", new XAttribute("pattern", packagePattern)));
                 }
 
-                if (pkgSrcMappingClearElement != null)
-                {
-                    pkgSrcMappingClearElement.AddAfterSelf(pkgSrc);
-                }
-                else
-                {
-                    pkgSrcMappingElement.AddFirst(pkgSrc);
-                    pkgSrcMappingElement.AddFirst(new XElement("clear"));
-                }
+                pkgSrcMappingClearElement.AddAfterSelf(pkgSrc);
             }
 
             using (var writer = XmlWriter.Create(NuGetConfigFile, new XmlWriterSettings { NewLineChars = newLineChars, Indent = true }))