The extension knows how to find a variety of interpreter environments. This includes venvs in the ".venv" folder directly under the workspace folder, which are project-local. Such an env should not be visible to other workspace folders. I found a case where it gets used by default for a new workspace.

Repro:

1. create folder: "testing"
2. run python3 -m venv testing/.venv
3. run code testing
4. open a .py file
5. set the interpreter env to "testing/.venv"
6. close the folder
7. create another folder: "eggs"
8. run code eggs
9. open a .py file

At that point the extension uses "testing/.venv" as the env. However, the workspace for the "eggs" folder should not know about that interpreter, since it is local to another workspace.