The right-hander was 10-12 with a 3.26 ERA and 212 strikeouts in 196 innings in 2015. He's entering his fourth season with the Padres.
"Tyson is ready and eager to take that ball on Day 1, and we're excited to have him as our ace," Green said. "It's definitely an affirmation of who Tyson is and a belief in him and where he's headed. I think it's just the right choice as an organization."