[guided]The goal is to prove projectivity, and the standard module-theoretic criterion is that a module is projective if it is a direct summand of a free module. We have already found finitely many generators $\sigma_{ia}$, so there is a natural finite free module mapping onto $\Gamma(M,E)$.
Let
\begin{align*}
F := A^{Nk}
\end{align*}
with basis vectors $u_{ia}$. Define
\begin{align*}
T:F &\to \Gamma(M,E)
\end{align*}
by
\begin{align*}
T(u_{ia})=\sigma_{ia}.
\end{align*}
Thus, for a tuple $(h_{ia})_{i,a}\in A^{Nk}$,
\begin{align*}
T((h_{ia})_{i,a})=\sum_{i=1}^N\sum_{a=1}^k h_{ia}\sigma_{ia}.
\end{align*}
Because the $\sigma_{ia}$ generate $\Gamma(M,E)$, this map is surjective.
To split $T$, we must assign to each section $s$ a tuple of smooth functions whose image under $T$ is exactly $s$. On $U_i$, expand $s$ in the local frame:
\begin{align*}
s(p)=\sum_{a=1}^k f_{ia}(p)e_{ia}(p), \qquad p \in U_i,
\end{align*}
where each $f_{ia}:U_i \to \mathbb{R}$ is smooth. Multiplying by $\theta_i$ localizes the coefficient to the region where the frame is valid. Since $\operatorname{supp}\theta_i \subset U_i$, the product $\theta_i f_{ia}$ extends by zero to a smooth function $h_{ia}:M \to \mathbb{R}$. The smoothness at points outside $U_i$ is justified as follows: every $p \in M \setminus U_i$ has a neighbourhood on which $\theta_i=0$, so the zero extension is locally the zero function there. Define
\begin{align*}
S(s):=(h_{ia})_{i,a}\in F.
\end{align*}
This assignment is $A$-linear. Indeed, if $r\in A$ and $s$ has local coefficients $f_{ia}$ on $U_i$, then $rs$ has local coefficients $(r|_{U_i})f_{ia}$, so the corresponding global coefficient functions are
\begin{align*}
\theta_i(r|_{U_i})f_{ia}=r(\theta_i f_{ia}).
\end{align*}
Hence $S(rs)=rS(s)$, and additivity follows from uniqueness of local frame coefficients.
Finally compute:
\begin{align*}
(T\circ S)(s)=\sum_{i=1}^N\sum_{a=1}^k h_{ia}\sigma_{ia}=\sum_{i=1}^N\sum_{a=1}^k \theta_i^2 f_{ia}e_{ia}=\sum_{i=1}^N \theta_i^2s=s.
\end{align*}
Thus $S$ is a right inverse to $T$, so the surjection from the free module $F$ onto $\Gamma(M,E)$ splits.[/guided]