That was it!

for (my $i=0; $i <=1; $i++) {
    #new scope in brkts 
}
[download]

I had always thought of the FOR loop as a single construct. I didn't realize that each time the control logic ($i++, etc.) is exectuted, you EXIT the brackets and lose that scope! But if you parse the code very precisely, that is literally what happens, so it now makes sense! Thank you BrowserUk!