[step:Bound Term II using exchangeability and the Hamming ball volume]Let $V(n,r) := \#B(0,r) = \sum_{k=0}^r \binom{n}{k}$ be the volume of a Hamming ball of radius $r$ in $\{0,1\}^n$; by translation invariance of $d_H$, every Hamming ball of radius $r$ in $\{0,1\}^n$ has this cardinality.
Decompose
\begin{align*}
\mathbb{P}(B(Y,r) \cap C \supsetneq \{c_I\}) &= \mathbb{P}\!\left(\bigcup_{j \ne I} \{c_j \in B(Y,r)\}\right) \le \sum_{j=1}^{m} \sum_{i \ne j} \frac{1}{m}\, \mathbb{P}(c_j \in B(Y, r) \mid I = i) \\
&\le (m-1) \cdot \max_{i \ne j} \mathbb{P}(c_j \in B(Y,r) \mid I = i),
\end{align*}
using the law of total probability over $I$ and the union bound over $j \ne i$.
We claim that for any $i \ne j$,
\begin{align*}
\mathbb{P}(c_j \in B(Y, r) \mid I = i) = \frac{V(n,r)}{2^n}.
\end{align*}
To see this, condition on $(c_i, Y) = (a, y)$; then $c_j$ is distributed uniformly over $\{0,1\}^n \setminus \{c_1, \ldots, c_{j-1}, c_{j+1}, \ldots\}$ — but crucially, among the ordered distinct sequences drawn, swapping $c_j$ with any fixed element of $\{0,1\}^n \setminus \{a\}$ preserves the uniform distribution on $m$-element subsets. More concretely, since $(c_1, \ldots, c_m)$ is a uniform random ordering of a uniform $m$-subset, the marginal of $c_j$ given $(c_i, I = i, Y) = (a, i, y)$ is uniform on $\{0,1\}^n \setminus \{a\}$. Thus
\begin{align*}
\mathbb{P}(c_j \in B(y, r) \mid c_i = a, I = i, Y = y) = \frac{\#(B(y,r) \setminus \{a\})}{2^n - 1} \le \frac{V(n,r)}{2^n - 1} \le \frac{V(n,r)}{2^n - V(n,r)}.
\end{align*}
For all sufficiently large $n$ the ball volume satisfies $V(n,r) \le 2^n/2$ (see the entropy bound below), so $V(n,r)/(2^n - V(n,r)) \le 2 V(n,r)/2^n$. Incorporating the factor of $2$ into constants we do not track,
\begin{align*}
\mathbb{P}(c_j \in B(Y,r) \mid I = i) \le \frac{2\, V(n,r)}{2^n}.
\end{align*}
Combining with the union bound,
\begin{align*}
\text{Term II} \le (m-1) \cdot \frac{2\, V(n,r)}{2^n} \le \frac{2 \cdot 2^{nR} \cdot V(n,r)}{2^n}.
\end{align*}
We now invoke the entropy bound for binomial sums: for $0 \le r \le n/2$,
\begin{align*}
V(n, r) = \sum_{k=0}^{r} \binom{n}{k} \le 2^{n H(r/n)}.
\end{align*}
Since $r/n \le p + \varepsilon < 1/2$ and $H$ is increasing on $[0, 1/2]$,
\begin{align*}
V(n,r) \le 2^{n H(p + \varepsilon)}.
\end{align*}
Therefore
\begin{align*}
\text{Term II} \le \frac{2 \cdot 2^{nR} \cdot 2^{nH(p+\varepsilon)}}{2^n} = 2 \cdot 2^{n\bigl(R - (1 - H(p+\varepsilon))\bigr)}.
\end{align*}
By Step 1, the exponent $R - (1 - H(p+\varepsilon))$ is strictly negative, so $\text{Term II} \to 0$ as $n \to \infty$.[/step]