Important things to note:
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This example is set up using a Azure Storage Account with a container in it called "output-files".
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In local.settings.json, please add connection strings to a Azure Storage Account, also please configure this on app settings on Azure, mine look like this:
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Try triggering the function by blob upload then observe behaviour (breaking case), then uninstall the NuGet packages and trigger it in the same way (working case)