Hi Corwin I agree with your interpretation. I believe that if the authors agree to change the licence to GPLv3+ then the software will become eligible to be hosted at Savannah.
I suspect that the reason for cancelling is because the software is not eligible in the current form. The ticket remains open for issues with missing information (missing list of dependencies, missing licence headers in files, etc) but when there is a violation of one of the requirements, then the ticket is closed. It is my understanding that once the issue is resolved, the ticked may be re-opened to review the new upload. Svetlana