diff --git a/registry/coder/modules/agentapi/agentapi.tftest.hcl b/registry/coder/modules/agentapi/agentapi.tftest.hcl
index 87404c62..080ad208 100644
--- a/registry/coder/modules/agentapi/agentapi.tftest.hcl
+++ b/registry/coder/modules/agentapi/agentapi.tftest.hcl
@@ -8,7 +8,6 @@ variables {
   cli_app_display_name = "Test CLI"
   cli_app_slug         = "test-cli"
   start_script         = "echo test"
-  module_dir_name      = ".test-module"
 }
 
 run "default_values" {
@@ -51,11 +50,6 @@ run "default_values" {
     error_message = "shutdown script should contain ARG_PID_FILE_PATH"
   }
 
-  assert {
-    condition     = can(regex("ARG_MODULE_DIR_NAME", coder_script.agentapi_shutdown.script))
-    error_message = "shutdown script should contain ARG_MODULE_DIR_NAME"
-  }
-
   assert {
     condition     = can(regex("ARG_ENABLE_STATE_PERSISTENCE", coder_script.agentapi_shutdown.script))
     error_message = "shutdown script should contain ARG_ENABLE_STATE_PERSISTENCE"
diff --git a/registry/coder/modules/agentapi/main.tf b/registry/coder/modules/agentapi/main.tf
index f75c3e78..5a878be0 100644
--- a/registry/coder/modules/agentapi/main.tf
+++ b/registry/coder/modules/agentapi/main.tf
@@ -142,11 +142,6 @@ variable "agentapi_subdomain" {
   }
 }
 
-variable "module_dir_name" {
-  type        = string
-  description = "Name of the subdirectory in the home directory for module files."
-}
-
 variable "enable_state_persistence" {
   type        = bool
   description = "Enable AgentAPI conversation state persistence across restarts."
@@ -155,13 +150,13 @@ variable "enable_state_persistence" {
 
 variable "state_file_path" {
   type        = string
-  description = "Path to the AgentAPI state file. Defaults to $HOME/<module_dir_name>/agentapi-state.json."
+  description = "Path to the AgentAPI state file. Defaults to <module_directory>/agentapi-state.json."
   default     = ""
 }
 
 variable "pid_file_path" {
   type        = string
-  description = "Path to the AgentAPI PID file. Defaults to $HOME/<module_dir_name>/agentapi.pid."
+  description = "Path to the AgentAPI PID file. Defaults to <module_directory>/agentapi.pid."
   default     = ""
 }
 
@@ -210,7 +205,7 @@ resource "coder_script" "agentapi" {
     chmod +x "${local.main_script_destination}"
     echo -n '${base64encode(local.lib_script)}' | base64 -d > "${local.lib_script_destination}"
 
-    ARG_MODULE_DIR_NAME='${var.module_dir_name}' \
+    ARG_MODULE_DIRECTORY='${var.module_directory}' \
     ARG_WORKDIR="$(echo -n '${base64encode(local.workdir)}' | base64 -d)" \
     ARG_INSTALL_AGENTAPI='${var.install_agentapi}' \
     ARG_AGENTAPI_VERSION='${var.agentapi_version}' \
@@ -242,11 +237,11 @@ resource "coder_script" "agentapi_shutdown" {
     chmod +x "${local.shutdown_script_destination}"
     echo -n '${base64encode(local.lib_script)}' | base64 -d > "${local.lib_script_destination}"
 
+    ARG_MODULE_DIRECTORY='${var.module_directory}' \
     ARG_TASK_ID='${try(data.coder_task.me.id, "")}' \
     ARG_TASK_LOG_SNAPSHOT='${var.task_log_snapshot}' \
     ARG_AGENTAPI_PORT='${var.agentapi_port}' \
     ARG_ENABLE_STATE_PERSISTENCE='${var.enable_state_persistence}' \
-    ARG_MODULE_DIR_NAME='${var.module_dir_name}' \
     ARG_PID_FILE_PATH='${var.pid_file_path}' \
     ARG_LIB_SCRIPT_PATH="${local.lib_script_destination}" \
     "${local.shutdown_script_destination}"
diff --git a/registry/coder/modules/agentapi/scripts/agentapi-shutdown.sh b/registry/coder/modules/agentapi/scripts/agentapi-shutdown.sh
index 09ddfc87..9f7425a2 100644
--- a/registry/coder/modules/agentapi/scripts/agentapi-shutdown.sh
+++ b/registry/coder/modules/agentapi/scripts/agentapi-shutdown.sh
@@ -12,8 +12,8 @@ readonly TASK_ID="${ARG_TASK_ID:-}"
 readonly TASK_LOG_SNAPSHOT="${ARG_TASK_LOG_SNAPSHOT:-true}"
 readonly AGENTAPI_PORT="${ARG_AGENTAPI_PORT:-3284}"
 readonly ENABLE_STATE_PERSISTENCE="${ARG_ENABLE_STATE_PERSISTENCE:-false}"
-readonly MODULE_DIR_NAME="${ARG_MODULE_DIR_NAME:-}"
-readonly PID_FILE_PATH="${ARG_PID_FILE_PATH:-${MODULE_DIR_NAME:+$HOME/$MODULE_DIR_NAME/agentapi.pid}}"
+readonly MODULE_DIRECTORY="${ARG_MODULE_DIRECTORY:-}"
+readonly PID_FILE_PATH="${ARG_PID_FILE_PATH:-${MODULE_DIRECTORY:+${MODULE_DIRECTORY}/agentapi.pid}}"
 readonly LIB_SCRIPT_PATH="${ARG_LIB_SCRIPT_PATH}"
 
 # Source shared utilities (written by the coder_script wrapper).
diff --git a/registry/coder/modules/agentapi/scripts/main.sh b/registry/coder/modules/agentapi/scripts/main.sh
index f446fed9..0135ec0d 100644
--- a/registry/coder/modules/agentapi/scripts/main.sh
+++ b/registry/coder/modules/agentapi/scripts/main.sh
@@ -3,7 +3,7 @@ set -e
 set -x
 
 set -o nounset
-MODULE_DIR_NAME="$ARG_MODULE_DIR_NAME"
+MODULE_DIRECTORY="$ARG_MODULE_DIRECTORY"
 WORKDIR="$ARG_WORKDIR"
 INSTALL_AGENTAPI="$ARG_INSTALL_AGENTAPI"
 AGENTAPI_VERSION="$ARG_AGENTAPI_VERSION"
@@ -25,8 +25,7 @@ command_exists() {
   command -v "$1" > /dev/null 2>&1
 }
 
-module_path="$HOME/${MODULE_DIR_NAME}"
-mkdir -p "$module_path/scripts"
+mkdir -p "${MODULE_DIRECTORY}/scripts"
 
 # Check for jq dependency if task log snapshot is enabled.
 if [[ $TASK_LOG_SNAPSHOT == true ]] && [[ -n $TASK_ID ]]; then