diff --git a/server/src/com/cloud/storage/dao/VMTemplateHostDao.java b/server/src/com/cloud/storage/dao/VMTemplateHostDao.java
index 9f4aba0a7f9..d58ff20c280 100755
--- a/server/src/com/cloud/storage/dao/VMTemplateHostDao.java
+++ b/server/src/com/cloud/storage/dao/VMTemplateHostDao.java
@@ -61,5 +61,6 @@ public interface VMTemplateHostDao extends GenericDao<VMTemplateHostVO, Long> {
     void deleteByHost(Long hostId);
 
     VMTemplateHostVO findLocalSecondaryStorageByHostTemplate(long hostId, long templateId);
-	
+
+    List<VMTemplateHostVO> listByTemplateHostStatus(long templateId, long hostId, Status... states);
 }
diff --git a/server/src/com/cloud/storage/dao/VMTemplateHostDaoImpl.java b/server/src/com/cloud/storage/dao/VMTemplateHostDaoImpl.java
index 9bf79300327..5db30fdfa45 100755
--- a/server/src/com/cloud/storage/dao/VMTemplateHostDaoImpl.java
+++ b/server/src/com/cloud/storage/dao/VMTemplateHostDaoImpl.java
@@ -53,6 +53,7 @@ public class VMTemplateHostDaoImpl extends GenericDaoBase<VMTemplateHostVO, Long
 	protected final SearchBuilder<VMTemplateHostVO> HostSearch;
 	protected final SearchBuilder<VMTemplateHostVO> TemplateSearch;
 	protected final SearchBuilder<VMTemplateHostVO> HostTemplateSearch;
+	protected final SearchBuilder<VMTemplateHostVO> HostTemplateStateSearch;
 	protected final SearchBuilder<VMTemplateHostVO> HostDestroyedSearch;
 	protected final SearchBuilder<VMTemplateHostVO> PoolTemplateSearch;
 	protected final SearchBuilder<VMTemplateHostVO> HostTemplatePoolSearch;
@@ -72,7 +73,7 @@ public class VMTemplateHostDaoImpl extends GenericDaoBase<VMTemplateHostVO, Long
 	+   "t.download_pct, t.size, t.physical_size, t.download_state, t.error_str, t.local_path, "
 	+   "t.install_path, t.url, t.destroyed, t.is_copy FROM template_host_ref t, host h " 
 	+   "where t.host_id = h.id and h.data_center_id=? "
-	+	" and t.template_id=? and t.download_state = ?" ;
+	+	" and t.template_id=? and t.download_state = ?" ;
 	
 	protected static final String DOWNLOADS_STATE_DC_POD=
 		"SELECT * FROM template_host_ref t, host h where t.host_id = h.id and h.data_center_id=? and h.pod_id=? "
@@ -111,18 +112,24 @@ public class VMTemplateHostDaoImpl extends GenericDaoBase<VMTemplateHostVO, Long
 		TemplateStatusSearch = createSearchBuilder();
 		TemplateStatusSearch.and("template_id", TemplateStatusSearch.entity().getTemplateId(), SearchCriteria.Op.EQ);
 		TemplateStatusSearch.and("download_state", TemplateStatusSearch.entity().getDownloadState(), SearchCriteria.Op.EQ);
-		TemplateStatusSearch.done();		
-		
-		TemplateStatesSearch = createSearchBuilder();
-		TemplateStatesSearch.and("template_id", TemplateStatesSearch.entity().getTemplateId(), SearchCriteria.Op.EQ);
-		TemplateStatesSearch.and("states", TemplateStatesSearch.entity().getDownloadState(), SearchCriteria.Op.IN);
-		TemplateStatesSearch.done();
-		
-		PoolTemplateSearch = createSearchBuilder();
-		PoolTemplateSearch.and("pool_id", PoolTemplateSearch.entity().getPoolId(), SearchCriteria.Op.EQ);
-		PoolTemplateSearch.and("template_id", PoolTemplateSearch.entity().getTemplateId(), SearchCriteria.Op.EQ);
-		PoolTemplateSearch.done();
-	}
+		TemplateStatusSearch.done();
+
+        TemplateStatesSearch = createSearchBuilder();
+        TemplateStatesSearch.and("template_id", TemplateStatesSearch.entity().getTemplateId(), SearchCriteria.Op.EQ);
+        TemplateStatesSearch.and("states", TemplateStatesSearch.entity().getDownloadState(), SearchCriteria.Op.IN);
+        TemplateStatesSearch.done();
+
+        HostTemplateStateSearch = createSearchBuilder();
+        HostTemplateStateSearch.and("template_id", HostTemplateStateSearch.entity().getTemplateId(), SearchCriteria.Op.EQ);
+        HostTemplateStateSearch.and("host_id", HostTemplateStateSearch.entity().getHostId(), SearchCriteria.Op.EQ);
+        HostTemplateStateSearch.and("states", HostTemplateStateSearch.entity().getDownloadState(), SearchCriteria.Op.IN);
+        HostTemplateStateSearch.done();
+
+        PoolTemplateSearch = createSearchBuilder();
+        PoolTemplateSearch.and("pool_id", PoolTemplateSearch.entity().getPoolId(), SearchCriteria.Op.EQ);
+        PoolTemplateSearch.and("template_id", PoolTemplateSearch.entity().getTemplateId(), SearchCriteria.Op.EQ);
+        PoolTemplateSearch.done();
+    }
 	
 	@Override
 	public boolean configure(String name, Map<String, Object> params) throws ConfigurationException {
@@ -228,9 +235,17 @@ public class VMTemplateHostDaoImpl extends GenericDaoBase<VMTemplateHostVO, Long
 			s_logger.warn("Exception: ", e);
 		}
 		return result;
-
-	}
-	
+	}
+
+    @Override
+    public List<VMTemplateHostVO> listByTemplateHostStatus(long templateId, long hostId, VMTemplateHostVO.Status... states) {       
+        SearchCriteria<VMTemplateHostVO> sc = HostTemplateStateSearch.create();
+        sc.setParameters("template_id", templateId);
+        sc.setParameters("host_id", hostId);
+        sc.setParameters("states", (Object[])states);
+        return search(sc, null);
+    }
+	   
 	@Override
 	public List<VMTemplateHostVO> listByTemplateStatus(long templateId, long datacenterId, long podId, VMTemplateHostVO.Status downloadState) {
         Transaction txn = Transaction.currentTxn();
diff --git a/server/src/com/cloud/storage/download/DownloadMonitor.java b/server/src/com/cloud/storage/download/DownloadMonitor.java
index 1739dcdbb63..48eb5a3461a 100644
--- a/server/src/com/cloud/storage/download/DownloadMonitor.java
+++ b/server/src/com/cloud/storage/download/DownloadMonitor.java
@@ -34,7 +34,7 @@ import com.cloud.utils.component.Manager;
  */
 public interface DownloadMonitor extends Manager{
 	
-	public boolean downloadTemplateToStorage(Long templateId, Long zoneId);
+	public boolean downloadTemplateToStorage(VMTemplateVO template, Long zoneId);
 	
 	public void cancelAllDownloads(Long templateId);
 
diff --git a/server/src/com/cloud/storage/download/DownloadMonitorImpl.java b/server/src/com/cloud/storage/download/DownloadMonitorImpl.java
index 08bc4348e27..d4249382970 100755
--- a/server/src/com/cloud/storage/download/DownloadMonitorImpl.java
+++ b/server/src/com/cloud/storage/download/DownloadMonitorImpl.java
@@ -197,9 +197,9 @@ public class DownloadMonitorImpl implements  DownloadMonitor {
 	}
 	
 	
-	public boolean isTemplateUpdateable(Long templateId, Long datacenterId) {
+	public boolean isTemplateUpdateable(Long templateId, Long hostId) {
 		List<VMTemplateHostVO> downloadsInProgress =
-			_vmTemplateHostDao.listByTemplateStatus(templateId, datacenterId, VMTemplateHostVO.Status.DOWNLOAD_IN_PROGRESS);
+			_vmTemplateHostDao.listByTemplateHostStatus(templateId.longValue(), hostId.longValue(), VMTemplateHostVO.Status.DOWNLOAD_IN_PROGRESS, VMTemplateHostVO.Status.DOWNLOADED);
 		return (downloadsInProgress.size() == 0);
 	}
 	
@@ -355,19 +355,23 @@ public class DownloadMonitorImpl implements  DownloadMonitor {
 
 
 	@Override
-	public boolean downloadTemplateToStorage(Long templateId, Long zoneId) {
+	public boolean downloadTemplateToStorage(VMTemplateVO template, Long zoneId) {
         List<DataCenterVO> dcs = new ArrayList<DataCenterVO>();       
         if (zoneId == null) {
             dcs.addAll(_dcDao.listAll());
         } else {
             dcs.add(_dcDao.findById(zoneId));
         }
+        long templateId = template.getId();
+        boolean isPublic = template.isFeatured() || template.isPublicTemplate(); 
         for ( DataCenterVO dc : dcs ) {
     	    List<HostVO> ssHosts = _hostDao.listAllSecondaryStorageHosts(dc.getId());
     	    for ( HostVO ssHost : ssHosts ) {
         		if (isTemplateUpdateable(ssHost.getId(), templateId)) {
-         
        				initiateTemplateDownload(templateId, ssHost);
+       				if (! isPublic ) {
+       				    break;
+       				}
         		}
     	    }
 	    }
diff --git a/server/src/com/cloud/template/HyervisorTemplateAdapter.java b/server/src/com/cloud/template/HyervisorTemplateAdapter.java
index 81345a84df0..8eb19c6b4ef 100644
--- a/server/src/com/cloud/template/HyervisorTemplateAdapter.java
+++ b/server/src/com/cloud/template/HyervisorTemplateAdapter.java
@@ -107,7 +107,7 @@ public class HyervisorTemplateAdapter extends TemplateAdapterBase implements Tem
 	public VMTemplateVO create(TemplateProfile profile) {
 		VMTemplateVO template = persistTemplate(profile);
 		
-		_downloadMonitor.downloadTemplateToStorage(profile.getTemplateId(), profile.getZoneId());
+		_downloadMonitor.downloadTemplateToStorage(template, profile.getZoneId());
 		_accountMgr.incrementResourceCount(profile.getAccountId(), ResourceType.template);
 		
         return template;
diff --git a/server/src/com/cloud/template/TemplateManager.java b/server/src/com/cloud/template/TemplateManager.java
index 7279510d5a8..31e79b34001 100755
--- a/server/src/com/cloud/template/TemplateManager.java
+++ b/server/src/com/cloud/template/TemplateManager.java
@@ -39,42 +39,6 @@ import com.cloud.storage.VMTemplateVO;
  */
 public interface TemplateManager extends TemplateService{
 
-    /**
-     * Creates a Template
-     * 
-     * @param zoneId
-     *            zone to create the template in
-     * @param displayText
-     *            user readable name.
-     * @param isPublic
-     *            is this a public template?
-     * @param featured
-     *            is this template featured?
-     * @param isExtractable
-     *            is this template extractable?
-     * @param format
-     *            which image format is the template.
-     * @param fs
-     *            what is the file system on the template
-     * @param url
-     *            url to download the template from.
-     * @param chksum
-     *            chksum to compare it to.
-     * @param requiresHvm
-     *            does this template require hvm?
-     * @param bits
-     *            is the os contained on the template 32 bit?
-     * @param enablePassword
-     *            Does the template support password change.
-     * @param guestOSId
-     *            OS that is on the template
-     * @param bootable
-     *            true if this template will represent a bootable ISO
-     * @return id of the template created.
-     */
-    Long createInZone(long zoneId, long userId, String displayText, boolean isPublic, boolean featured, boolean isExtractable, ImageFormat format, TemplateType type, URI url, String chksum,
-            boolean requiresHvm, int bits, boolean enablePassword, long guestOSId, boolean bootable);
-
     /**
      * Prepares a template for vm creation for a certain storage pool.
      * 
diff --git a/server/src/com/cloud/template/TemplateManagerImpl.java b/server/src/com/cloud/template/TemplateManagerImpl.java
index a65a0fb4672..967cd7fea4d 100755
--- a/server/src/com/cloud/template/TemplateManagerImpl.java
+++ b/server/src/com/cloud/template/TemplateManagerImpl.java
@@ -703,28 +703,6 @@ public class TemplateManagerImpl implements TemplateManager, Manager, TemplateSe
     protected TemplateManagerImpl() {
     }
 
-	@Override
-	public Long createInZone(long zoneId, long userId, String displayText,
-			boolean isPublic, boolean featured, boolean isExtractable, ImageFormat format,
-			TemplateType type, URI url, String chksum, boolean requiresHvm,
-			int bits, boolean enablePassword, long guestOSId, boolean bootable) {
-		Long id = _tmpltDao.getNextInSequence(Long.class, "id");
-
-		UserVO user = _userDao.findById(userId);
-		long accountId = user.getAccountId();
-
-		VMTemplateVO template = new VMTemplateVO(id, displayText, format, isPublic, featured, isExtractable, type, url.toString(), requiresHvm, bits, accountId, chksum, displayText, enablePassword, guestOSId, bootable, null);
-
-		Long templateId = _tmpltDao.addTemplateToZone(template, zoneId);
-		UserAccount userAccount = _userAccountDao.findById(userId);
-
-		_downloadMonitor.downloadTemplateToStorage(id, zoneId);
-
-		_accountMgr.incrementResourceCount(userAccount.getAccountId(), ResourceType.template);
-
-		return templateId;
-	}
-	
 	@Override
     public boolean templateIsDeleteable(VMTemplateHostVO templateHostRef) {
 		VMTemplateVO template = _tmpltDao.findByIdIncludingRemoved(templateHostRef.getTemplateId());