diff --git a/go.mod b/go.mod
index b9aa51473..fc2508bfc 100644
--- a/go.mod
+++ b/go.mod
@@ -4,7 +4,7 @@ go 1.24.6
 
 require (
 	github.com/argoproj-labs/argo-rollouts-manager v0.0.6-0.20250731075119-a100fc1d88b8
-	github.com/argoproj-labs/argocd-operator v0.16.0-rc1.0.20251204063443-9249b2daeeba
+	github.com/argoproj-labs/argocd-operator v0.16.0-rc1.0.20251210081855-96c4956c5ce8
 	github.com/argoproj/argo-cd/v3 v3.1.5
 	github.com/argoproj/gitops-engine v0.7.1-0.20250905160054-e48120133eec
 	github.com/go-logr/logr v1.4.3
diff --git a/go.sum b/go.sum
index a9d527b7b..ef7260367 100644
--- a/go.sum
+++ b/go.sum
@@ -31,8 +31,8 @@ github.com/anmitsu/go-shlex v0.0.0-20200514113438-38f4b401e2be h1:9AeTilPcZAjCFI
 github.com/anmitsu/go-shlex v0.0.0-20200514113438-38f4b401e2be/go.mod h1:ySMOLuWl6zY27l47sB3qLNK6tF2fkHG55UZxx8oIVo4=
 github.com/argoproj-labs/argo-rollouts-manager v0.0.6-0.20250731075119-a100fc1d88b8 h1:6+eo7BKrNkSIhQ1nnyCUloSNrGzghlb8r8e7GokoeBo=
 github.com/argoproj-labs/argo-rollouts-manager v0.0.6-0.20250731075119-a100fc1d88b8/go.mod h1:yTwzKUV79YyI764hkXdVojGYBA9yKJk3qXx5mRuQ2Xc=
-github.com/argoproj-labs/argocd-operator v0.16.0-rc1.0.20251204063443-9249b2daeeba h1:78B//Rfc/acaf/4JDGDHwPtOuNHRujC+j9UiMBDyO8A=
-github.com/argoproj-labs/argocd-operator v0.16.0-rc1.0.20251204063443-9249b2daeeba/go.mod h1:NCFt9E3K/eXfjfuXGQXLe+zKQCeRCaZv7ZsbbXFPpOw=
+github.com/argoproj-labs/argocd-operator v0.16.0-rc1.0.20251210081855-96c4956c5ce8 h1:r6AJ7fKOEvCevYdtv6Q4HKeqyYW4pGlqZJzDyE6TZcA=
+github.com/argoproj-labs/argocd-operator v0.16.0-rc1.0.20251210081855-96c4956c5ce8/go.mod h1:NCFt9E3K/eXfjfuXGQXLe+zKQCeRCaZv7ZsbbXFPpOw=
 github.com/argoproj/argo-cd/v3 v3.1.5 h1:dm1SY5CaILDIQIQINA4H6uJrXpExyif2Yz5915g91kQ=
 github.com/argoproj/argo-cd/v3 v3.1.5/go.mod h1:ZHb/LOz/hr88VWMJiVTd8DGYL7MheHCAT8S6DgYOBFo=
 github.com/argoproj/gitops-engine v0.7.1-0.20250905160054-e48120133eec h1:rNAwbRQFvRIuW/e2bU+B10mlzghYXsnwZedYeA7Drz4=