I am creating a model in Model Builder (ArcGIS Desktop 10.2.2) and trying to add a Feature Service from AGOL into the model to use as the baseline to perform geoprocessing tools on. Is there a preferred/standard way to insert the feature service from AGOL into the model? I've clicked and dragged the feature service from ArcCatalog to the model, but an error message appears:

If I open ArcMap, add the feature service to the map, open the model and then click and drag the feature service item from the ArcMap table of contents to the Model, it works. I've tried creating a layer file from the feature service, but Model Builder also has issues recognizing the data as a feature service.