For future referance never use pressure treated plywood for sheathing.
It's now treated with copper and will rust out anything but ACQ approved fasterners in about a years. Reguler roofing nails are not ACQ approved.
With yours I think I would have removed the siding and cut that sheathing back up higher on the wall. At least I would have removed 2, rows of siding Installed 3/4 X 6 vinyl lumber, Z molding. a strip of J molding then reinstalled one row of siding.
This would keep the bottom of the sheathing from being exposted to wicking but still covered up some of the concrete wall.