Scaling Plan with AVD session hosts on Azure Local doesn't perform a clean shutdown

Try this as workaround:

1. Custom Automation for Clean Shutdown
Use Azure Automation or PowerShell scripts to:
•    Gracefully log off users
•    Stop services
•    Trigger a clean shutdown before deallocation

Stop-Computer -ComputerName "SessionHost01" -Force

You can schedule this to run just before the scaling plan kicks in.
2. Use Logoff + Delay Strategy
•    Configure session hosts to log off disconnected users automatically
•    Add a buffer time between user logoff and VM deallocation
•    This gives the OS time to settle before shutdown
3. Monitor with Event Logs
Track shutdown events using:
•    Event ID 6008 (unexpected shutdown)
•    Event ID 1074 (planned shutdown)
This helps validate whether your workaround is working.