https://gerrit.wikimedia.org/r/#/c/mediawiki/extensions/WikibaseMediaInfo/+/461121/ fixes this, just hadn't yet been pulled on that instance.

We've recently made a bunch of not insignificant changes to UW, so the initial patch would need some work before we could merge it, but I think we've not really changed much about what things can be interacted with.

I think I phrased that the wrong way: the fix *is* live (in production).
I tested the entire upload routine on beta & it works as expected.
I also tested the relevant part on Commons (selecting 1 option no longer automatically selects the other) and that seemed to work; I just didn't actually submit the garbage image to Commons.

@AlexisJazz: This fix should be live.
I just tested (on beta commons) and it didn't apply the {{flickrreview}} template when selecting "Original work of the US Federal Government" from "This work was made by the United States government", but it did add the template when I selected that option from "The copyright holder published their photo or video on Flickr with the right license".
So it appears to be working, as far as I can see.

Fix has been deployed & it seems to be working just fine again!

Description copy was updated already. I guess I just hadn't gotten around to updating it up labs - done now!

I posted a first draft on https://etherpad.wikimedia.org/p/federated-commons-testing
I'm sure there's more functionality that (c|sh)ould be tested - additions are welcome!
(suggestions for a better place to put this are also welcome ;))

https://gerrit.wikimedia.org/r/#/c/mediawiki/extensions/UploadWizard/+/416466/ (UploadWizard "redesign") is ready to be merged.
It is based on https://app.zeplin.io/project/5944370bacda5b95a3c55d76/screen/5afcb766ee152ad33d9d91a8 & the copy matches this mockup.
Except for the captions help text, which was changed to "Add a one-line explanation of what this file represents, including only the most relevant information." (see T192843) - though captions won't be enabled in production yet.