The Green Light-Go Program is funded as part of the annual state budget, which appropriates the maximum amount of funding that can be spent in each state fiscal year (July 1 to June 30). The funding for each Green Light-Go grant is encumbered in the active state fiscal year when the grant/reimbursement agreement is fully executed. For example, a grant which is fully executed on July 15, 2026 would be encumbered in state fiscal year 2026-27. In accordance with 75 Pa.C.S. §9511(e.1)(4), funding for Green Light-Go grants does not lapse at the end of the fiscal year when the grant was awarded, but remains available for the following two consecutive fiscal years. Therefore, funding for Green Light-Go grants lapses on the third June 30th after the grant agreement is fully executed. For the example above, a grant agreement executed in state fiscal year 2026-27 will lapse at the end of state fiscal year 2028-29, on June 30, 2029.

The time to complete Green Light-Go projects is maximized when the grant/reimbursement agreements are executed early in the state fiscal year. PennDOT works to ensure the grant awards are ready to be announced as soon as the state budget passes each year to achieve that goal. PennDOT also pushes the completion date as far as possible before funds lapse, while allowing time to process reimbursements before the funds lapse. The agreement expiration date identified in the grant agreement is when the funds will lapse.

If a time extension were to be granted, PennDOT must move the funding commitment to a later state fiscal year so the funds do not lapse. In order to move the funding commitment, there must be available budget in another fiscal year because PennDOT cannot commit funds exceeding the appropriated amount. PennDOT does not retain extra budget for time extensions because this would reduce the grant awards and penalize other applicants which could complete projects on time. The funding from the original grant award will be lost from the Green Light-Go program since PennDOT is unable to award new funding in prior fiscal years.

Because of the limitations described above, time extenions will be VERY LIMITED and subject to available program funding. Time extensions must be justified and the cause of the delay must be beyond the applicant's reasonable control and materially affect the project schedule.

Following are some examples of reasonable justification which could be used to approve a time extension if sufficient program funds are available:

• The project is classified as a Local Grant (PennDOT Design) project and the design completion was delayed by PennDOT, not the applicant.
• Permitting, utility coordination, or unforeseen right-of-way issues
• The project was bid more than a year before grant expiration, but there were no bidders.
• The poles were fabricated incorrectly and did not follow PennDOT approved shop drawings.

The following are not acceptable justification and a time extension will not be approved:

• The applicant did not promptly begin work on the project when the grant agreement was fully executed and ran out of time.
• The project was bid less than one year before grant expiration and the materials are not expected to arrive before the required completion date.
• The project was bid less than one year before grant expiration and there were no bidders because contractors knew they couldn't meet the deadline.
• Municipal staff changed and the project was not trasitioned effectively.

Applicants should submit requests for time extensions as soon as the delay is identified. Extension requests must be supported by a written explanation and revised project schedule. The request should identify the original and proposed completion dates; describe the cause, duration, and effect of the delay; provide supporting documentation; outline mitigation actions; and include a revised critical-path schedule. The applicant must continue to comply with all applicable program, procurement, recordkeeping, and reimbursement requirements. Extension requests must be submitted by email to GLG@pa.gov.