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I need help with design and implementation of this algorithm, in Python. All contributions must be consistent with the principles introduced here. Unless you find some conceptual flaws or omissions, which would be even more valuable.
This is an open project, but I will pay per contribution, or per hour once there is a track record. I have ~1M in liquid assets and fully expect to spend it on this project, although it could take a long time.

Contributions:

2010: Todor Arnaudov, $600 for suggestion to buffer old inputs after search. This occurred to me more than once before, but I rejected it as redundant to potential elevation of these inputs. Now that he made me think about it again, I realized that partial redundancy can preserve the detail at much lower cost than elevation. The buffer is accessed if coordinates of contents get relatively close to projected inputs (that and justification is mine). It didn’t feel right because brain has no substrate for passive memory, but we do now.

2011: Todor, $400 consolation prize for understanding some ideas that were not clearly explained here.

2014: Dan He, $600 for pushing me to be more specific and to compare my algorithm with others.

2016: Todor, $500 for multiple suggestions on implementing the algorithm, as well as for the effort.

Kieran Greer, $375 for an attempt to implement level 1 pseudo code in C#

2017:

Alexander Loschilov, $2800 for help in converting my level 1 pseudo code into Python, consulting on PyCharm and SciPy, and for insistence on 2D clustering, February-April.

Todor Arnaudov: $2000 for help in optimizing level_1_2D, June-July.

Kapil Kashyap: $2000 for stimulation and effort, help with Python and level_1_2D, September-October

2018:

Todor Arnaudov, $1000 mostly for effort and stimulation, January-February

Andrei Demchenko, $1800 for conventional refactoring and interface improvement in line_POC_introductory.py, few improvements in the code, April - May.

Todor Arnaudov, $2000 for help in debugging frame_dblobs.py, September - October.

Khanh Nguyen, $2700, is a lead developer of this project starting December 2018.

2019:

Stephan Verbeeck, $1000 for insistence on using gradient vs. dx and dy, as well as his perspective on colors and contour tracing, January