diff --git a/app/models/miq_server/server_monitor.rb b/app/models/miq_server/server_monitor.rb
index 02a771c8488..b9624c6fdce 100644
--- a/app/models/miq_server/server_monitor.rb
+++ b/app/models/miq_server/server_monitor.rb
@@ -16,25 +16,29 @@ def mark_as_not_responding(seconds = miq_server_time_threshold)
   end
 
   def make_master_server(last_master)
-    _log.info "Master server has #{last_master.nil? ? "not been set" : "died"}.  Attempting takeover as new master server."
-    parent = MiqRegion.my_region
+    _log.info "Master server has #{last_master.nil? ? "not been set" : "died, #{last_master.name}"}.  Attempting takeover as new master server, #{name}."
+    parent = MiqRegion.my_region(true)
     parent.lock do
-      all_servers = parent.miq_servers
+      # See if an ACTIVE server has already taken over
+      active_servers = parent.active_miq_servers
 
       _log.debug "Double checking that nothing has changed"
-      master = all_servers.detect(&:is_master?)
+      master = active_servers.detect(&:is_master?)
       if (last_master.nil? && !master.nil?) || (!last_master.nil? && !master.nil? && last_master.id != master.id)
-        _log.info "Aborting master server takeover as another server has taken control first."
+        _log.info "Aborting master server takeover as another server, #{master.name}, has taken control first."
         return nil
       end
 
-      _log.debug "Setting this server as master server"
-      all_servers.each do |s|
+      _log.debug "Setting this server, #{name}, as master server"
+
+      # Set is_master on self, reset every other server in the region, including
+      # inactive ones.
+      parent.miq_servers.each do |s|
         s.is_master = (id == s.id)
         s.save!
       end
     end
-    _log.info "This server is now set as the master server"
+    _log.info "This server #{name} is now set as the master server, last_master: #{last_master.try(:name)}"
     self
   end
 
diff --git a/spec/models/miq_server/server_monitor_spec.rb b/spec/models/miq_server/server_monitor_spec.rb
index 9dcf727c24a..27d91379194 100644
--- a/spec/models/miq_server/server_monitor_spec.rb
+++ b/spec/models/miq_server/server_monitor_spec.rb
@@ -461,6 +461,55 @@
         @miq_server3.reload
       end
 
+      it "should support multiple failover transitions from stopped master" do
+        # server1 is first to start, becomes master
+        @miq_server1.monitor_servers
+
+        # Initialize the bookkeeping around current and last master
+        @miq_server2.monitor_servers
+        @miq_server3.monitor_servers
+
+        # server1 is master
+        expect(@miq_server1.reload.is_master).to be_truthy
+        expect(@miq_server2.reload.is_master).to be_falsey
+        expect(@miq_server3.reload.is_master).to be_falsey
+
+        # server 1 shuts down
+        @miq_server1.update(:status => "stopped")
+
+        # server 3 becomes master, server 2 hasn't monitored servers yet
+        @miq_server3.monitor_servers
+        expect(@miq_server1.reload.is_master).to be_falsey
+        expect(@miq_server2.reload.is_master).to be_falsey
+        expect(@miq_server3.reload.is_master).to be_truthy
+
+        # server 3 shuts down
+        @miq_server3.update(:status => "stopped")
+
+        # server 2 finally gets to monitor_servers, takes over
+        @miq_server2.monitor_servers
+        expect(@miq_server1.reload.is_master).to be_falsey
+        expect(@miq_server2.reload.is_master).to be_truthy
+        expect(@miq_server3.reload.is_master).to be_falsey
+      end
+
+      it "should failover from stopped master on startup" do
+        # server 1 is first to start, becomes master
+        @miq_server1.monitor_servers
+
+        # server 1 shuts down
+        @miq_server1.update(:status => "stopped")
+
+        # server 3 boots and hasn't run monitor_servers yet
+        expect(@miq_server1.reload.is_master).to be_truthy
+        expect(@miq_server3.reload.is_master).to be_falsey
+
+        # server 3 runs monitor_servers and becomes master
+        @miq_server3.monitor_servers
+        expect(@miq_server1.reload.is_master).to be_falsey
+        expect(@miq_server3.reload.is_master).to be_truthy
+      end
+
       it "should have all roles active after sync between them" do
         expect(@miq_server1.active_role_names.include?("ems_operations")).to be_truthy
         expect(@miq_server2.active_role_names.include?("ems_operations")).to be_truthy