diff --git a/backend/src/cyclone/cli.py b/backend/src/cyclone/cli.py
index a7cdd20..6519d92 100644
--- a/backend/src/cyclone/cli.py
+++ b/backend/src/cyclone/cli.py
@@ -577,7 +577,6 @@ def resubmit_rejected_claims(
 
     from cyclone import db as db_mod
     from cyclone.audit_log import AuditEvent, append_event
-    from cyclone.clearhouse import SftpClient
     from cyclone.parsers.parse_837 import parse as parse_837_text
     from cyclone.parsers.payer import PayerConfig
     from cyclone.store import store as cycl_store
@@ -614,7 +613,6 @@ def resubmit_rejected_claims(
     failed = 0
     validated = 0
     payer_cfg = PayerConfig.co_medicaid()
-    sftp_client = SftpClient(sftp_block)
     start = time.monotonic()
     last_progress = start
 
@@ -641,36 +639,39 @@ def resubmit_rejected_claims(
         try: ssh.close()
         except Exception: pass
 
+    ssh: paramiko.SSHClient | None = None
+    sftp: paramiko.SFTPClient | None = None
+
     for i, src in enumerate(files, 1):
         if limit is not None and i > limit:
             break
 
+        content = src.read_bytes()
+
         # Validate: parse must succeed AND payer_id must match the
         # companion-guide CO_TXIX (catches a bad byte-fix early).
         if validate:
             try:
-                parsed = parse_837_text(src.read_text(), payer_cfg)
+                parsed = parse_837_text(content.decode(), payer_cfg)
             except Exception as exc:  # noqa: BLE001
                 failed += 1
                 click.echo(f"PARSE FAIL  {src.name}: {exc.__class__.__name__}: {exc}", err=True)
                 continue
-            for c in parsed.claims:
-                if c.payer.id != "CO_TXIX":
-                    failed += 1
-                    click.echo(
-                        f"PAYER MISMATCH  {src.name}: payer.id={c.payer.id!r} "
-                        f"(expected 'CO_TXIX')", err=True,
-                    )
-                    break
-            else:
-                validated += 1
+            mismatch = next(
+                (c for c in parsed.claims if c.payer.id != "CO_TXIX"), None
+            )
+            if mismatch is not None:
+                failed += 1
+                click.echo(
+                    f"PAYER MISMATCH  {src.name}: payer.id={mismatch.payer.id!r} "
+                    f"(expected 'CO_TXIX')", err=True,
+                )
+                continue
+            validated += 1
 
-        content = src.read_bytes()
         local_size = len(content)
         remote_path = f"{remote_root}/{src.name}"
 
-        ssh: paramiko.SSHClient | None = None
-        sftp: paramiko.SFTPClient | None = None
         attempts = 0
         ok = False
         while attempts < 3:
@@ -713,12 +714,6 @@ def resubmit_rejected_claims(
             failed += 1
             continue
 
-        # Reconnect periodically to dodge MOVEit's per-session cap.
-        if uploaded > 0 and uploaded % reconnect_every == 0:
-            click.echo(f"reconnecting (after {uploaded} uploads)", err=True)
-            _close_session(ssh)
-            ssh, sftp = None, None
-
         # Audit (best-effort; if the DB is unavailable we still keep
         # the file on the wire).
         try:
@@ -741,6 +736,12 @@ def resubmit_rejected_claims(
 
         uploaded += 1
 
+        # Reconnect periodically to dodge MOVEit's per-session cap.
+        if uploaded % reconnect_every == 0:
+            click.echo(f"reconnecting (after {uploaded} uploads)", err=True)
+            _close_session(ssh)
+            ssh, sftp = None, None
+
         # Progress every 10s of wall-clock (or at end).
         now = time.monotonic()
         if now - last_progress >= 10 or i == len(files):
diff --git a/backend/src/cyclone/inbox_state.py b/backend/src/cyclone/inbox_state.py
index c5a6cfd..3907d50 100644
--- a/backend/src/cyclone/inbox_state.py
+++ b/backend/src/cyclone/inbox_state.py
@@ -35,7 +35,7 @@ def apply_999_rejections(
     claim_lookup: Callable[[str], Claim | None],
     batch_envelope_index: dict[str, list[str]] | None = None,
 ) -> Apply999Result:
-    """For each set response with code R or E, look up the matching claim and
+    """For each set response with code R, E, or X, look up the matching claim and
     move it to REJECTED. Idempotent on already-rejected claims.
 
     Args: