How to make an azure function to read from the dist folder generated by Typescript?

I have an azure function that works great in JS but I've migrated the code to TS. When I run the deployment I do see the dist folder generated by TS, however, if I go to the Azure portal I still see my old JS function but there's no sign of the dist folder. I have confirmed through Kudu that the dist folder exists and it contains the new code.

How can I let know to the Azure function to read from the dist folder?

This is my current folder structure:

- Project
  - azure_func
    - main_func_app
      - funcs
        -func_js
           index.js
           my_ref_vals.json
           function.json
        -func_ts
           index.ts
           my_ref_vals.json
           function.json
        -dist
         -func_ts
            index.js
            index.js.map
       package.json
       host.json
       tsconfig.json

Contents of the tsconfig.json

{
    "compilerOptions": {
    "module": "commonjs",
    "target": "es6",
    "outDir": "dist",
    "rootDir": ".",
    "sourceMap": true,
    "strict": true
    },
    "include": ["./**/*.ts"],
    "exclude": ["dist", "node_modules"]
}

Contents of the package.json

{
"version": "0.0.0",
"description": "",
"scripts": {
  "build": "tsc",
  "watch": "tsc -w",
  "prestart": "npm run build",
  "start": "func host start --typescript",
  "test": "echo \"No tests yet...\"",
  "lint": "eslint .",
  "format": "prettier --write ."
},
"devDependencies":{
  "@types/jest": "^28.1.6",
  "@types/node": "16.x",
  "@typescript-eslint/eslint-plugin": "^5.31.0",
  "@typescript-eslint/parser": "^5.31.0",
  "eslint": "^8.20.0",
  "eslint-config-prettier": "^8.5.0",
}
}

Deployment file:

- stage: Build
  displayName: Build stage for Azure Function
  jobs:
  - job: Build
    displayName: Build
    pool:
      vmImage: $(vmImageName)

    steps:
      - task: NodeTool@0
        inputs:
          versionSpec: '14.x'
          displayName: 'Install Node.js'

      - task: AzureCLI@2
        inputs:
          azureSubscription: 'mysub-test-group-SPN'
          scriptType: 'bash'
          scriptLocation: 'inlineScript'
          inlineScript: |
            npm install
            npm run build

      - task: ArchiveFiles@2
        displayName: 'Create artifact'
        inputs: 
           rootFolderOrFile: 'Project/azure_func/main_func_app/funcs'
           includeRootFolder: false
           archiveType: zip
           archiveFile: $(Build.ArtifactStagingDirectory)/$(Build.BuildId).zip
           replaceExistingArchive: true

      - upload: $(Build.ArtifactStagingDirectory)/$(Build.BuildId).zip
        displayName: 'Publish Azure Functions Artifact'
        artifact: functions

      - task: AzureFunctionApp@1
        displayName: 'Deploy Azure Functions'
        inputs:
          azureSubscription: 'mysub-test-group-SPN'
          appType: 'functionApp'
          appName: 'azure_funcs'
          package: '$(Pipeline.Workspace)/functions/$(Build.BuildId).zip'
          deploymentMethod: 'auto'

Please, comment if something isn't clear.

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