diff --git a/lib/ansible/runner/action_plugins/copy.py b/lib/ansible/runner/action_plugins/copy.py
index def52b7db28..b1e5bac8359 100644
--- a/lib/ansible/runner/action_plugins/copy.py
+++ b/lib/ansible/runner/action_plugins/copy.py
@@ -18,7 +18,7 @@
 import os
 
 from ansible import utils
-from ansible import template
+import ansible.utils.template as template
 from ansible import errors
 from ansible.runner.return_data import ReturnData
 import base64
diff --git a/lib/ansible/utils/template.py b/lib/ansible/utils/template.py
index c1ed6d0e3ff..e38fd0dfa0f 100644
--- a/lib/ansible/utils/template.py
+++ b/lib/ansible/utils/template.py
@@ -23,6 +23,7 @@ from jinja2.runtime import StrictUndefined
 import yaml
 import json
 from ansible import errors
+import ansible.utils as utils
 import ansible.constants as C
 import time
 import subprocess
@@ -174,7 +175,8 @@ def _legacy_varFind(basedir, text, vars, lookup_fatal, depth, expand_lists):
             lookup_plugin_name, args = args.split(",", 1)
             args = args.strip()
         # args have to be templated
-        args = varReplace(basedir, args, vars, lookup_fatal, depth + 1, True)
+        args = legacy_varReplace(basedir, args, vars, lookup_fatal, depth + 1, True)
+
         instance = utils.plugins.lookup_loader.get(lookup_plugin_name.lower(), basedir=basedir)
         if instance is not None:
             try:
@@ -186,6 +188,7 @@ def _legacy_varFind(basedir, text, vars, lookup_fatal, depth, expand_lists):
                     replacement = None
                 else:
                     raise
+
         else:
             replacement = None
         return {'replacement': replacement, 'start': start, 'end': end}
@@ -222,7 +225,7 @@ def legacy_varReplace(basedir, raw, vars, lookup_fatal=True, depth=0, expand_lis
         if expand_lists and isinstance(replacement, (list, tuple)):
             replacement = ",".join([str(x) for x in replacement])
         if isinstance(replacement, (str, unicode)):
-            replacement = varReplace(basedir, replacement, vars, lookup_fatal, depth=depth+1, expand_lists=expand_lists)
+            replacement = legacy_varReplace(basedir, replacement, vars, lookup_fatal, depth=depth+1, expand_lists=expand_lists)
         if replacement is None:
             replacement = raw[m['start']:m['end']]
 
@@ -436,10 +439,14 @@ def template_from_string(basedir, data, vars):
             else:
                 return data
            
-        def test_foo():
-            return 'test_foo!'
-        
-        t.globals['test_foo'] = test_foo 
+        def lookup(name, *args, **kwargs):
+            instance = utils.plugins.lookup_loader.get(name.lower(), basedir=basedir)
+            if instance is not None:
+                return ",".join(instance.run(*args, inject=vars, **kwargs))
+            else:
+                raise errors.AnsibleError("lookup plugin (%s) not found" % name)
+ 
+        t.globals['lookup'] = lookup
  
         res = jinja2.utils.concat(t.root_render_func(t.new_context(_jinja2_vars(basedir, vars, t.globals), shared=True)))
         return res
diff --git a/test/TestUtils.py b/test/TestUtils.py
index c1d5870cddc..1a3d488985e 100644
--- a/test/TestUtils.py
+++ b/test/TestUtils.py
@@ -3,7 +3,7 @@
 import unittest
 
 import ansible.utils
-import ansible.template as template
+import ansible.utils.template as template2
 
 class TestUtils(unittest.TestCase):
 
@@ -16,14 +16,14 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world'
 
     def test_varReplace_trailing_dollar(self):
         template = '$what $who $'
         vars = dict(what='hello', who='world')
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
         assert res == 'hello world $'
 
     def test_varReplace_multiple(self):
@@ -33,7 +33,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world'
 
@@ -43,7 +43,7 @@ class TestUtils(unittest.TestCase):
             'whoVar': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
         print res
         assert res == 'hello world'
 
@@ -53,7 +53,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world!'
 
@@ -63,7 +63,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world'
 
@@ -73,7 +73,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world}'
 
@@ -83,7 +83,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == template
 
@@ -93,7 +93,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world }'
 
@@ -105,7 +105,7 @@ class TestUtils(unittest.TestCase):
             },
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         print res
         assert res == template
@@ -118,7 +118,7 @@ class TestUtils(unittest.TestCase):
             },
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world'
 
@@ -131,7 +131,7 @@ class TestUtils(unittest.TestCase):
             'what': 'hello',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello 2'
 
@@ -141,7 +141,7 @@ class TestUtils(unittest.TestCase):
             'who': u'wórld',
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == u'hello wórld'
 
@@ -151,7 +151,7 @@ class TestUtils(unittest.TestCase):
             'data': [ 'no-one', 'world' ]
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world'
 
@@ -161,7 +161,7 @@ class TestUtils(unittest.TestCase):
             'data': [ 'no-one', 'world' ]
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == template
 
@@ -171,7 +171,7 @@ class TestUtils(unittest.TestCase):
             'data': [ 'no-one', 'world' ]
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == template
 
@@ -181,7 +181,7 @@ class TestUtils(unittest.TestCase):
             'data': { 'no-one': 0, 'world': 1 }
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == template
 
@@ -191,7 +191,7 @@ class TestUtils(unittest.TestCase):
             'data': [ 'no-one', {'msg': [ 'world'] } ]
         }
 
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
 
         assert res == 'hello world'
 
@@ -202,7 +202,7 @@ class TestUtils(unittest.TestCase):
         }
 
         template = '${foo}${bar}'
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
         assert res == 'foobar'
 
     def test_varReplace_escape_dot(self):
@@ -215,7 +215,7 @@ class TestUtils(unittest.TestCase):
         }
 
         template = '${hostvars.{test.example.com}.foo}'
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
         assert res == 'bar'
 
     def test_varReplace_list_join(self):
@@ -228,7 +228,7 @@ class TestUtils(unittest.TestCase):
         }
 
         template = 'yum pkg=${list} state=installed'
-        res = ansible.utils.varReplace(None, template, vars, expand_lists=True)
+        res = template2.legacy_varReplace(None, template, vars, expand_lists=True)
         assert res == 'yum pkg=foo,bar,baz state=installed'
 
     def test_varReplace_escaped_var(self):
@@ -236,7 +236,7 @@ class TestUtils(unittest.TestCase):
             'foo': 'bar',
         }
         template = 'action \$foo'
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
         assert res == 'action $foo'
 
     def test_varReplace_var_part(self):
@@ -247,7 +247,7 @@ class TestUtils(unittest.TestCase):
             'key': 'bar',
         }
         template = 'test ${foo.$key}'
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
         assert res == 'test result'
 
     def test_varReplace_var_partial_part(self):
@@ -258,7 +258,7 @@ class TestUtils(unittest.TestCase):
             'key': 'bar',
         }
         template = 'test ${foo.${key}baz}'
-        res = ansible.utils.varReplace(None, template, vars)
+        res = template2.legacy_varReplace(None, template, vars)
         assert res == 'test result'
 
     def test_varReplace_var_complex_var(self):
@@ -269,7 +269,7 @@ class TestUtils(unittest.TestCase):
             },
         }
         template = '${x.foo}'
-        res = template.template(None, template, vars)
+        res = template2.template(None, template, vars)
         assert res == 'result'
 
     def test_template_varReplace_iterated(self):
@@ -279,21 +279,21 @@ class TestUtils(unittest.TestCase):
             'person': 'one',
         }
 
-        res = template.template(None, template, vars)
+        res = template2.template(None, template, vars)
 
         assert res == u'hello oh great one'
 
     def test_varReplace_include(self):
         template = 'hello $FILE(world) $LOOKUP(file, $filename)'
 
-        res = template.template("test", template, {'filename': 'world'}, expand_lists=True)
+        res = template2.template("test", template, {'filename': 'world'}, expand_lists=True)
 
         assert res == u'hello world world'
 
     def test_varReplace_include_script(self):
         template = 'hello $PIPE(echo world) $LOOKUP(pipe, echo world)'
 
-        res = template.template("test", template, {}, expand_lists=True)
+        res = template2.template("test", template, {}, expand_lists=True)
 
         assert res == u'hello world world'
 
@@ -325,19 +325,19 @@ class TestUtils(unittest.TestCase):
         }
 
         template = '${data.var}'
-        res = template.template(None, template, vars)
+        res = template2.template(None, template, vars)
         assert sorted(res) == sorted(vars['data']['var'])
 
         template = '${data.types}'
-        res = template.template(None, template, vars)
+        res = template2.template(None, template, vars)
         assert sorted(res) == sorted(vars['data']['types'])
 
         template = '${data.alphas}'
-        res = template.template(None, template, vars)
+        res = template2.template(None, template, vars)
         assert sorted(res) == sorted(vars['alphas'])
 
         template = '${data.nonexisting}'
-        res = template.template(None, template, vars)
+        res = template2.template(None, template, vars)
         assert res == template
 
     #####################################
@@ -348,7 +348,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = template.template_from_file("test", "template-basic", vars)
+        res = template2.template_from_file("test", "template-basic", vars)
 
         assert res == 'hello world'
 
@@ -357,7 +357,7 @@ class TestUtils(unittest.TestCase):
             'who': 'world',
         }
 
-        res = template.template_from_file("test", "template-whitespace", vars)
+        res = template2.template_from_file("test", "template-whitespace", vars)
 
         assert res == 'hello world\n'
 
@@ -366,7 +366,7 @@ class TestUtils(unittest.TestCase):
             'who': u'wórld',
         }
 
-        res = template.template_from_file("test", "template-basic", vars)
+        res = template2.template_from_file("test", "template-basic", vars)
 
         assert res == u'hello wórld'