diff --git a/STATE.md b/STATE.md
index 4b64624..3f68b27 100644
--- a/STATE.md
+++ b/STATE.md
@@ -42,3 +42,4 @@
 - [2026-03-15] manifest.jsonl schema has no canonical machine-readable definition (#720)
 - [2026-03-15] CID format change silently drops historical generation JSONL on re-admission (#757): warn on unrecognised CID format instead of silently skipping
 - [2026-03-15] evolve.sh does not write `note` field — schema drift between hand-written and evolved entries (#719): auto-generate note "Evolved from <seed> (run<N> gen<G>)" for every admitted entry
+- [2026-03-15] No-op varCounter assignment before false branch in processExecIf (#655)
diff --git a/tools/push3-transpiler/src/transpiler.ts b/tools/push3-transpiler/src/transpiler.ts
index b86e022..5aae3a3 100644
--- a/tools/push3-transpiler/src/transpiler.ts
+++ b/tools/push3-transpiler/src/transpiler.ts
@@ -254,7 +254,6 @@ function processExecIf(
 
   // --- Simulate FALSE branch ---
   const falseState = makeSubState(state);
-  state.varCounter = falseState.varCounter; // will be updated after false branch too
   processItems(toItems(falseBranch), falseState);
   state.varCounter = falseState.varCounter;