diff --git a/app/models/issue.py b/app/models/issue.py
index cfbf644..c810a3e 100644
--- a/app/models/issue.py
+++ b/app/models/issue.py
@@ -2,6 +2,23 @@ from app import db
 from datetime import datetime
 
 
+class IssueComment(db.Model):
+    __tablename__ = 'issue_comments'
+
+    id            = db.Column(db.Integer, primary_key=True)
+    issue_id      = db.Column(db.Integer, db.ForeignKey('issues.id'), nullable=False)
+    user_id       = db.Column(db.Integer, db.ForeignKey('users.id'), nullable=False)
+    status_at_time = db.Column(db.String(20))   # snapshot of issue status when comment was made
+    body          = db.Column(db.Text, nullable=False)
+    created_at    = db.Column(db.DateTime, default=datetime.utcnow, nullable=False)
+
+    # Relationships
+    author = db.relationship('User', foreign_keys=[user_id])
+
+    def __repr__(self):
+        return f'<IssueComment {self.id} issue={self.issue_id}>'
+
+
 class Issue(db.Model):
     __tablename__ = 'issues'
 
@@ -20,6 +37,9 @@ class Issue(db.Model):
 
     # Relationships
     assigned_user = db.relationship('User', foreign_keys=[assigned_to], backref='assigned_issues')
+    comments      = db.relationship('IssueComment', backref='issue', lazy='dynamic',
+                                    order_by='IssueComment.created_at',
+                                    cascade='all, delete-orphan')
 
     def __repr__(self):
         return f'<Issue {self.id} - {self.severity}>'
\ No newline at end of file
diff --git a/app/routes/issues.py b/app/routes/issues.py
index 3447183..50db69d 100644
--- a/app/routes/issues.py
+++ b/app/routes/issues.py
@@ -3,7 +3,7 @@ from flask import (Blueprint, render_template, redirect, url_for,
                    flash, request, current_app)
 from flask_login import login_required, current_user
 from app import db
-from app.models.issue import Issue
+from app.models.issue import Issue, IssueComment
 from app.models.facility import Facility, Area
 from app.models.user import User
 from app.utils.forms import IssueForm, IssueUpdateForm
@@ -84,15 +84,27 @@ def view(issue_id):
             existing = issue.result_photos or []
             issue.result_photos = existing + new_photos
 
+        # Persist a comment entry if the user wrote update notes
+        comment_body = form.comments.data.strip() if form.comments.data else ''
+        if comment_body:
+            comment = IssueComment(
+                issue_id       = issue.id,
+                user_id        = current_user.id,
+                status_at_time = issue.status,
+                body           = comment_body,
+            )
+            db.session.add(comment)
+
         db.session.commit()
         current_app.logger.info(
-            'ISSUE UPDATED | id=%s | status=%s | result_photos_added=%s | updated_by=%s',
-            issue.id, issue.status, len(new_photos), current_user.username
+            'ISSUE UPDATED | id=%s | status=%s | result_photos_added=%s | comment=%s | updated_by=%s',
+            issue.id, issue.status, len(new_photos), bool(comment_body), current_user.username
         )
         flash('Issue updated.', 'success')
         return redirect(url_for('issues.view', issue_id=issue_id))
 
-    return render_template('issues/view.html', issue=issue, form=form)
+    comments = issue.comments.order_by(IssueComment.created_at.asc()).all()
+    return render_template('issues/view.html', issue=issue, form=form, comments=comments)
 
 
 # ── Standalone create (not from an inspection) ────────────────────────────────
diff --git a/app/routes/reports.py b/app/routes/reports.py
index 38e9fa4..94c0f92 100644
--- a/app/routes/reports.py
+++ b/app/routes/reports.py
@@ -46,7 +46,13 @@ def index():
 
     total_inspections = base.count()
     completed         = base.filter(Inspection.status == 'completed').count()
-    flagged           = base.filter(Inspection.status == 'flagged').count()
+    # "Flagged" = open or in-progress issues logged within the date range,
+    # not inspections with status='flagged' (those get completed on submit).
+    flagged           = Issue.query.filter(
+        Issue.reported_at >= start,
+        Issue.reported_at <= end,
+        Issue.status != 'resolved',
+    ).count()
     avg_score         = db.session.query(func.avg(Inspection.overall_score)).filter(
         Inspection.inspection_date >= start,
         Inspection.inspection_date <= end,
diff --git a/app/templates/issues/view.html b/app/templates/issues/view.html
index d829284..6d23e80 100644
--- a/app/templates/issues/view.html
+++ b/app/templates/issues/view.html
@@ -69,6 +69,34 @@
         {% endif %}
       </div>
     </div>
+
+    {# ── Update History ─────────────────────────────────────────────────── #}
+    {% if comments %}
+    <div class="card shadow-sm mb-4">
+      <div class="card-header bg-light">
+        <h6 class="mb-0"><i class="bi bi-clock-history"></i> Update History</h6>
+      </div>
+      <ul class="list-group list-group-flush">
+        {% for c in comments %}
+        <li class="list-group-item">
+          <div class="d-flex justify-content-between align-items-center mb-1">
+            <span class="fw-semibold text-dark">
+              <i class="bi bi-person-circle"></i> {{ c.author.username }}
+            </span>
+            <span class="d-flex align-items-center gap-2">
+              <span class="badge bg-{{ 'success' if c.status_at_time == 'resolved' else 'warning text-dark' if c.status_at_time == 'in_progress' else 'danger' }} rounded-pill" style="font-size:.65rem;">
+                {{ c.status_at_time|replace('_',' ')|title }}
+              </span>
+              <small class="text-muted">{{ c.created_at.strftime('%Y-%m-%d %H:%M') }}</small>
+            </span>
+          </div>
+          <p class="mb-0 text-secondary" style="white-space:pre-wrap; font-size:.9rem;">{{ c.body }}</p>
+        </li>
+        {% endfor %}
+      </ul>
+    </div>
+    {% endif %}
+
   </div>
 
   <div class="col-lg-4">
diff --git a/app/templates/reports/index.html b/app/templates/reports/index.html
index 77e4057..e460cd8 100644
--- a/app/templates/reports/index.html
+++ b/app/templates/reports/index.html
@@ -52,7 +52,7 @@
   {% for label, value, color, icon in [
     ('Total Inspections', total_inspections, 'primary', 'bi-clipboard-data'),
     ('Completed',         completed,         'success', 'bi-check-circle'),
-    ('Flagged',           flagged,           'danger',  'bi-flag'),
+    ('Open Issues',       flagged,           'danger',  'bi-flag'),
     ('Avg Score',         (avg_score|string + '%') if avg_score else '—', 'info', 'bi-graph-up'),
   ] %}
   <div class="col-md-3 mb-3">