Copilot App forces repository root instead of respecting selected subfolder

[pepaar]

Short summary

When adding a repository, selecting a subfolder is ignored and the app resolves to the repository root.

Affected version or release

0.2.5

Installation context

No response

What happened?

What happened?

In many monorepo setups, development work is performed within a specific subfolder rather than the repository root. Tooling, instructions, and context are often scoped to that subdirectory.
When adding a repository to the GitHub Copilot App:

• A subfolder is selected during setup
• The app automatically resolves the repository to its root instead
• All sessions are subsequently executed from the root directory

Expected behavior

• The app should respect the user-selected subfolder
• Sessions should execute within that folder context
• Instructions, skills, and configuration located in that subfolder should be used

Actual behavior

• Selected subfolder is ignored
• Repository is resolved to root
• Sessions run from root instead of the intended subfolder
• Subfolder-specific instructions and configuration are not picked up

Impact

• Breaks workflows for monorepo setups
• Prevents effective use of Copilot App in subfolder-based development environments
• Reduces access to relevant instructions and tooling scoped to subdirectories

Suggested fix

• Do not automatically resolve to repository root when a subfolder is explicitly selected
• Preserve execution context based on the user-selected path
• Note: T3 Code does this correctly so take a look how it does it

Steps to reproduce

No response

Expected behavior

No response

Additional context

No response