diff --git a/murano/api/v1/templates.py b/murano/api/v1/templates.py
index 49df87f0..5e718811 100644
--- a/murano/api/v1/templates.py
+++ b/murano/api/v1/templates.py
@@ -49,7 +49,7 @@ class Controller(object):
             if not is_public:
 
                 filters['is_public'] = False
-                filters = {'tenant_id': tenant_id}
+                filters['tenant_id'] = tenant_id
             elif is_public:
                 filters['is_public'] = True
 
@@ -57,7 +57,7 @@ class Controller(object):
                 get_env_templates_by(filters)
 
         else:
-            filters = (EnvironmentTemplate.is_public is True,
+            filters = (EnvironmentTemplate.is_public,
                        EnvironmentTemplate.tenant_id == tenant_id)
             list_templates = env_temps.EnvTemplateServices.\
                 get_env_templates_or_by(filters)
diff --git a/murano/tests/unit/api/v1/test_env_templates.py b/murano/tests/unit/api/v1/test_env_templates.py
index 9e5c187e..7a1615f3 100644
--- a/murano/tests/unit/api/v1/test_env_templates.py
+++ b/murano/tests/unit/api/v1/test_env_templates.py
@@ -173,8 +173,8 @@ class TestEnvTemplateApi(tb.ControllerTest, tb.MuranoApiTestCase):
         self.assertFalse(0, len(json.loads(result.body)))
 
     def test_list_private_env_templates(self):
-        """Create an template, test list public with no
-        public templates.
+        """Create a public template and a private template,
+        test list private templates.
         """
         self._set_policy_rules(
             {'create_env_template': '@',
@@ -187,6 +187,12 @@ class TestEnvTemplateApi(tb.ControllerTest, tb.MuranoApiTestCase):
         result = req.get_response(self.api)
         self.assertFalse(json.loads(result.body)['is_public'])
 
+        self.expect_policy_check('create_env_template')
+        body = {'name': 'mytemp1', 'is_public': True}
+        req = self._post('/templates', json.dumps(body))
+        result = req.get_response(self.api)
+        self.assertTrue(json.loads(result.body)['is_public'])
+
         self.expect_policy_check('list_env_templates')
         req = self._get('/templates', {'is_public': False})
         result = req.get_response(self.api)
@@ -219,6 +225,34 @@ class TestEnvTemplateApi(tb.ControllerTest, tb.MuranoApiTestCase):
 
         self.assertEqual(2, len(json.loads(result.body)['templates']))
 
+    def test_list_env_templates_with_different_tenant(self):
+        """Create two template in two different tenants,
+        test list public template from another tenant.
+        """
+        self._set_policy_rules(
+            {'create_env_template': '@',
+             'list_env_templates': '@'}
+        )
+
+        self.expect_policy_check('create_env_template')
+        body = {'name': 'mytemp', 'is_public': False}
+        req = self._post('/templates', json.dumps(body), tenant='first_tenant')
+        result = req.get_response(self.api)
+        self.assertFalse(json.loads(result.body)['is_public'])
+
+        self.expect_policy_check('create_env_template')
+        body = {'name': 'mytemp1', 'is_public': True}
+        req = self._post('/templates', json.dumps(body),
+                         tenant='second_tenant')
+        result = req.get_response(self.api)
+        self.assertTrue(json.loads(result.body)['is_public'])
+
+        self.expect_policy_check('list_env_templates')
+        req = self._get('/templates', tenant='first_tenant')
+        result = req.get_response(self.api)
+
+        self.assertEqual(2, len(json.loads(result.body)['templates']))
+
     def test_illegal_template_name_create(self):
         """Check that an illegal temp name results in an HTTPClientError."""
         self._set_policy_rules(
diff --git a/murano_tempest_tests/tests/api/application_catalog/test_env_templates.py b/murano_tempest_tests/tests/api/application_catalog/test_env_templates.py
index 4af0c0fb..55d8a0a5 100644
--- a/murano_tempest_tests/tests/api/application_catalog/test_env_templates.py
+++ b/murano_tempest_tests/tests/api/application_catalog/test_env_templates.py
@@ -14,7 +14,6 @@
 #    under the License.
 
 from tempest.test import attr
-from tempest_lib import decorators
 
 from murano_tempest_tests.tests.api.application_catalog import base
 from murano_tempest_tests import utils
@@ -126,7 +125,6 @@ class TestEnvironmentTemplates(base.BaseApplicationCatalogTest):
         template = self.alt_client.get_env_template(cloned_template['id'])
         self.assertEqual(name, template['name'])
 
-    @decorators.skip_because(bug="1540709")
     @attr(type='smoke')
     def test_get_public_private_both_env_templates(self):
         name = utils.generate_name('get_public_private_both')