diff --git a/app/models/manageiq/providers/cloud_manager/template.rb b/app/models/manageiq/providers/cloud_manager/template.rb
index d30781820701..0091b5e246d3 100644
--- a/app/models/manageiq/providers/cloud_manager/template.rb
+++ b/app/models/manageiq/providers/cloud_manager/template.rb
@@ -124,9 +124,13 @@ def self.display_name(number = 1)
 
   def self.tenant_id_clause(user_or_group)
     template_tenant_ids = MiqTemplate.accessible_tenant_ids(user_or_group, Rbac.accessible_tenant_ids_strategy(self))
-    return if template_tenant_ids.empty?
+    tenant = User.current_user.current_group.tenant
 
-    ["(vms.template = true AND (vms.tenant_id IN (?) OR vms.publicly_available = true))", template_tenant_ids]
+    if tenant.source_id
+      ["(vms.template = true AND (vms.tenant_id = (?) AND vms.publicly_available = false OR vms.publicly_available = true))", tenant.id]
+    else
+      ["(vms.template = true AND (vms.tenant_id IN (?) OR vms.publicly_available = true))", template_tenant_ids] unless template_tenant_ids.empty?
+    end
   end
 
   private
diff --git a/spec/lib/rbac/filterer_spec.rb b/spec/lib/rbac/filterer_spec.rb
index c0415d99f9c4..6ce0e2f1a120 100644
--- a/spec/lib/rbac/filterer_spec.rb
+++ b/spec/lib/rbac/filterer_spec.rb
@@ -765,29 +765,73 @@ def combine_filtered_ids(user_filtered_ids, belongsto_filtered_ids, managed_filt
           let(:admin_user) { FactoryGirl.create(:user, :role => "super_administrator") }
           let!(:cloud_template_root) { FactoryGirl.create(:template_cloud, :publicly_available => false) }
 
-          it 'returns all cloud templates when user is admin' do
-            results = described_class.filtered(TemplateCloud, :user => admin_user)
-            expect(results).to match_array(TemplateCloud.all)
+          let(:tenant_2) { FactoryGirl.create(:tenant, :parent => default_tenant, :source_type => 'CloudTenant') } # T2
+          let(:group_2) { FactoryGirl.create(:miq_group, :tenant => tenant_2) } # T1
+          let(:user_2) { FactoryGirl.create(:user, :miq_groups => [group_2]) }
+
+          context "when tenant is not mapped to cloud tenant" do
+            it 'returns all cloud templates when user is admin' do
+              User.current_user = admin_user
+              results = described_class.filtered(TemplateCloud, :user => admin_user)
+              expect(results).to match_array(TemplateCloud.all)
+            end
+
+            context "when user is restricted user" do
+              let(:tenant_3) { FactoryGirl.create(:tenant, :parent => tenant_2) } # T3
+              let!(:cloud_template) { FactoryGirl.create(:template_cloud, :tenant => tenant_3, :publicly_available => true) }
+
+              it "returns all public cloud templates" do
+                User.current_user = user_2
+                results = described_class.filtered(TemplateCloud, :user => user_2)
+                expect(results).to match_array([cloud_template, cloud_template_root])
+              end
+
+              context "should ignore other tenant's private cloud templates" do
+                let!(:cloud_template) { FactoryGirl.create(:template_cloud, :tenant => tenant_3, :publicly_available => false) }
+                it "returns public templates" do
+                  User.current_user = user_2
+                  results = described_class.filtered(TemplateCloud, :user => user_2)
+                  expect(results).to match_array([cloud_template_root])
+                end
+              end
+            end
           end
 
-          context "when user is restricted user" do
-            let(:tenant_2) { FactoryGirl.create(:tenant, :parent => default_tenant, :source_type => 'CloudTenant') } # T2
-            let(:group_2) { FactoryGirl.create(:miq_group, :tenant => tenant_2) } # T1
-            let(:user_2) { FactoryGirl.create(:user, :miq_groups => [group_2]) }
-            let(:tenant_3) { FactoryGirl.create(:tenant, :parent => tenant_2) } # T3
-            let!(:cloud_template) { FactoryGirl.create(:template_cloud, :tenant => tenant_3, :publicly_available => true) }
+          context "when tenant is mapped to cloud tenant" do
+            let(:tenant_2) { FactoryGirl.create(:tenant, :parent => default_tenant, :source_type => 'CloudTenant', :source_id => 1) }
 
-            it "returns all public cloud templates" do
+            it "finds tenant's private cloud templates" do
+              cloud_template_2 = FactoryGirl.create(:template_cloud, :tenant => tenant_2, :publicly_available => false)
+              User.current_user = user_2
               results = described_class.filtered(TemplateCloud, :user => user_2)
-              expect(results).to match_array([cloud_template, cloud_template_root])
+              expect(results).to match_array([cloud_template_2])
             end
 
-            context "should ignore" do
-              let!(:cloud_template) { FactoryGirl.create(:template_cloud, :tenant => tenant_3, :publicly_available => false) }
-              it "private cloud templates" do
-                results = described_class.filtered(TemplateCloud, :user => user_2)
-                expect(results).to match_array([cloud_template_root])
-              end
+            it "finds tenant's private and public cloud templates" do
+              cloud_template_2 = FactoryGirl.create(:template_cloud, :tenant => tenant_2, :publicly_available => false)
+              cloud_template_3 = FactoryGirl.create(:template_cloud, :tenant => tenant_2, :publicly_available => true)
+              User.current_user = user_2
+              results = described_class.filtered(TemplateCloud, :user => user_2)
+              expect(results).to match_array([cloud_template_2, cloud_template_3])
+            end
+
+            it "ignores other tenant's private templates" do
+              cloud_template_2 = FactoryGirl.create(:template_cloud, :tenant => tenant_2, :publicly_available => false)
+              cloud_template_3 = FactoryGirl.create(:template_cloud, :tenant => tenant_2, :publicly_available => true)
+              cloud_template_4 = FactoryGirl.create(:template_cloud, :tenant => default_tenant, :publicly_available => false)
+              User.current_user = user_2
+              results = described_class.filtered(TemplateCloud, :user => user_2)
+              expect(results).to match_array([cloud_template_2, cloud_template_3])
+            end
+
+            it "finds other tenant's public templates" do
+              cloud_template_2 = FactoryGirl.create(:template_cloud, :tenant => tenant_2, :publicly_available => false)
+              cloud_template_3 = FactoryGirl.create(:template_cloud, :tenant => tenant_2, :publicly_available => true)
+              cloud_template_4 = FactoryGirl.create(:template_cloud, :tenant => default_tenant, :publicly_available => false)
+              cloud_template_5 = FactoryGirl.create(:template_cloud, :tenant => default_tenant, :publicly_available => true)
+              User.current_user = user_2
+              results = described_class.filtered(TemplateCloud, :user => user_2)
+              expect(results).to match_array([cloud_template_2, cloud_template_3, cloud_template_5])
             end
           end
         end
diff --git a/spec/models/manageiq/providers/cloud_manager/template_spec.rb b/spec/models/manageiq/providers/cloud_manager/template_spec.rb
index 426ef09c2ad8..414c254e55c3 100644
--- a/spec/models/manageiq/providers/cloud_manager/template_spec.rb
+++ b/spec/models/manageiq/providers/cloud_manager/template_spec.rb
@@ -25,8 +25,15 @@
     let(:tenant_group) { FactoryGirl.create(:miq_group, :miq_user_role => tenant_users, :tenant => tenant) }
     let(:cloud_template_1) { FactoryGirl.create(:class => "TemplateCloud") }
 
-    it "finds correct tenant id clause for regular tenants" do
+    it "finds correct tenant id clause when tenant doesn't have source_id" do
+      User.current_user = user
       expect(TemplateCloud.tenant_id_clause(user)).to eql ["(vms.template = true AND (vms.tenant_id IN (?) OR vms.publicly_available = true))", [default_tenant.id, tenant.id]]
     end
+
+    it "finds correct tenant id clause when tenant has source_id" do
+      User.current_user = user
+      tenant.source_id = 1
+      expect(TemplateCloud.tenant_id_clause(user)).to eql ["(vms.template = true AND (vms.tenant_id = (?) AND vms.publicly_available = false OR vms.publicly_available = true))", tenant.id]
+    end
   end
 end