diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelView.java b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelView.java
index 6334930..b80a03e 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelView.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/phone/NotificationPanelView.java
@@ -92,6 +92,7 @@
     private boolean mQsExpandedWhenExpandingStarted;
     private boolean mQsFullyExpanded;
     private boolean mKeyguardShowing;
+    private int mStatusBarState;
     private float mInitialHeightOnTouch;
     private float mInitialTouchX;
     private float mInitialTouchY;
@@ -125,7 +126,12 @@
     private boolean mBlockTouches;
     private ArrayList<View> mSwipeTranslationViews = new ArrayList<>();
     private int mNotificationScrimWaitDistance;
-    private boolean mOnNotificationsOnDown;
+
+    /**
+     * If we are in a panel collapsing motion, we reset scrollY of our scroll view but still
+     * need to take this into account in our panel height calculation.
+     */
+    private int mScrollYOverride = -1;
 
     public NotificationPanelView(Context context, AttributeSet attrs) {
         super(context, attrs);
@@ -152,6 +158,7 @@
                 findViewById(R.id.notification_stack_scroller);
         mNotificationStackScroller.setOnHeightChangedListener(this);
         mNotificationStackScroller.setOverscrollTopChangedListener(this);
+        mNotificationStackScroller.setScrollView(mScrollView);
         mFastOutSlowInInterpolator = AnimationUtils.loadInterpolator(getContext(),
                 android.R.interpolator.fast_out_slow_in);
         mFastOutLinearInterpolator = AnimationUtils.loadInterpolator(getContext(),
@@ -347,7 +354,6 @@
                 mInitialTouchX = x;
                 initVelocityTracker();
                 trackMovement(event);
-                mOnNotificationsOnDown = isOnNotifications(x, y);
                 if (shouldQuickSettingsIntercept(mInitialTouchX, mInitialTouchY, 0)) {
                     getParent().requestDisallowInterceptTouchEvent(true);
                 }
@@ -395,8 +401,6 @@
                 if (mQsTracking) {
                     flingQsWithCurrentVelocity();
                     mQsTracking = false;
-                } else if (mQsFullyExpanded && mOnNotificationsOnDown) {
-                    flingSettings(0 /* vel */, false /* expand */);
                 }
                 mIntercepting = false;
                 break;
@@ -404,10 +408,6 @@
         return !mQsExpanded && super.onInterceptTouchEvent(event);
     }
 
-    private boolean isOnNotifications(float x, float y) {
-        return mNotificationStackScroller.getChildAtPosition(x, y) != null;
-    }
-
     @Override
     public void requestDisallowInterceptTouchEvent(boolean disallowIntercept) {
 
@@ -561,7 +561,6 @@
         }
     }
 
-
     @Override
     public void onOverscrollTopChanged(float amount, boolean isRubberbanded) {
         cancelAnimation();
@@ -580,6 +579,7 @@
             public void run() {
                 mStackScrollerOverscrolling = false;
                 mQsExpansionFromOverscroll = false;
+                updateQsState();
             }
         });
     }
@@ -603,14 +603,18 @@
             mQsExpanded = expanded;
             updateQsState();
             requestPanelHeightUpdate();
+            mNotificationStackScroller.setInterceptDelegateEnabled(expanded);
         }
     }
 
-    public void setKeyguardShowing(boolean keyguardShowing) {
+    public void setBarState(int statusBarState) {
+        boolean keyguardShowing = statusBarState == StatusBarState.KEYGUARD
+                || statusBarState == StatusBarState.SHADE_LOCKED;
         if (!mKeyguardShowing && keyguardShowing) {
             setQsTranslation(mQsExpansionHeight);
             mHeader.setTranslationY(0f);
         }
+        mStatusBarState = statusBarState;
         mKeyguardShowing = keyguardShowing;
         updateQsState();
     }
@@ -618,12 +622,12 @@
     private void updateQsState() {
         boolean expandVisually = mQsExpanded || mStackScrollerOverscrolling;
         mHeader.setExpanded(expandVisually, mStackScrollerOverscrolling);
-        mNotificationStackScroller.setEnabled(!mQsExpanded || mQsExpansionFromOverscroll);
+        mNotificationStackScroller.setScrollingEnabled(mStatusBarState != StatusBarState.KEYGUARD
+                && (!mQsExpanded || mQsExpansionFromOverscroll));
         mQsPanel.setVisibility(expandVisually ? View.VISIBLE : View.INVISIBLE);
         mQsContainer.setVisibility(
                 mKeyguardShowing && !expandVisually ? View.INVISIBLE : View.VISIBLE);
         mScrollView.setTouchEnabled(mQsExpanded);
-        mNotificationStackScroller.setTouchEnabled(!mQsExpanded || mQsExpansionFromOverscroll);
     }
 
     private void setQsExpansion(float height) {
@@ -823,8 +827,12 @@
             float panelHeightQsExpanded = calculatePanelHeightQsExpanded();
             float t = (expandedHeight - panelHeightQsCollapsed)
                     / (panelHeightQsExpanded - panelHeightQsCollapsed);
+            int qsTempMaxExpansion = mQsMaxExpansionHeight;
+            if (mScrollYOverride != -1) {
+                qsTempMaxExpansion -= mScrollYOverride;
+            }
             setQsExpansion(mQsMinExpansionHeight
-                    + t * (mQsMaxExpansionHeight - mQsMinExpansionHeight));
+                    + t * (qsTempMaxExpansion - mQsMinExpansionHeight));
         }
         mNotificationStackScroller.setStackHeight(expandedHeight);
         updateHeader();
@@ -841,12 +849,20 @@
         if (totalHeight > mNotificationStackScroller.getHeight()) {
             float fullyCollapsedHeight = mQsMaxExpansionHeight
                     + mNotificationStackScroller.getMinStackHeight()
-                    + mNotificationStackScroller.getNotificationTopPadding();
+                    + mNotificationStackScroller.getNotificationTopPadding()
+                    - getScrollViewScrollY();
             totalHeight = Math.max(fullyCollapsedHeight, mNotificationStackScroller.getHeight());
         }
         return totalHeight;
     }
 
+    private int getScrollViewScrollY() {
+        if (mScrollYOverride != -1) {
+            return mScrollYOverride;
+        } else {
+            return mScrollView.getScrollY();
+        }
+    }
     private void updateNotificationTranslucency() {
         float alpha = (mNotificationStackScroller.getNotificationsTopY()
                 + mNotificationStackScroller.getItemHeight())
@@ -957,6 +973,10 @@
         mNotificationStackScroller.onExpansionStarted();
         mIsExpanding = true;
         mQsExpandedWhenExpandingStarted = mQsExpanded;
+        if (mQsExpanded) {
+            mScrollYOverride = mScrollView.getScrollY();
+            onQsExpansionStarted();
+        }
     }
 
     @Override
@@ -964,6 +984,7 @@
         super.onExpandingFinished();
         mNotificationStackScroller.onExpansionStopped();
         mIsExpanding = false;
+        mScrollYOverride = -1;
         if (mExpandedHeight == 0f) {
             mHeader.setListening(false);
             mQsPanel.setListening(false);
@@ -1044,6 +1065,7 @@
     public void onScrollChanged() {
         if (mQsExpanded) {
             requestScrollerTopPaddingUpdate(false /* animate */);
+            requestPanelHeightUpdate();
         }
     }
 
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/phone/ObservableScrollView.java b/packages/SystemUI/src/com/android/systemui/statusbar/phone/ObservableScrollView.java
index ea5b309..45f3632 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/phone/ObservableScrollView.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/phone/ObservableScrollView.java
@@ -31,6 +31,7 @@
     private int mLastOverscrollAmount;
     private boolean mDispatchingTouchEvent;
     private boolean mTouchEnabled = true;
+    private boolean mInTouchEvent;
 
     public ObservableScrollView(Context context, AttributeSet attrs) {
         super(context, attrs);
@@ -49,7 +50,7 @@
     }
 
     public boolean isDispatchingTouchEvent() {
-        return mDispatchingTouchEvent;
+        return mDispatchingTouchEvent || mInTouchEvent;
     }
 
     private int getMaxScrollY() {
@@ -63,6 +64,22 @@
     }
 
     @Override
+    public boolean onTouchEvent(MotionEvent ev) {
+        mInTouchEvent = true;
+        boolean result = super.onTouchEvent(ev);
+        mInTouchEvent = false;
+        return result;
+    }
+
+    @Override
+    public boolean onInterceptTouchEvent(MotionEvent ev) {
+        mInTouchEvent = true;
+        boolean result = super.onInterceptTouchEvent(ev);
+        mInTouchEvent = false;
+        return result;
+    }
+
+    @Override
     public boolean dispatchTouchEvent(MotionEvent ev) {
         if (!mTouchEnabled) {
             return false;
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/phone/PhoneStatusBar.java b/packages/SystemUI/src/com/android/systemui/statusbar/phone/PhoneStatusBar.java
index c4d4655..3fd3175 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/phone/PhoneStatusBar.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/phone/PhoneStatusBar.java
@@ -2841,14 +2841,13 @@
         if (mState == StatusBarState.KEYGUARD || mState == StatusBarState.SHADE_LOCKED) {
             mKeyguardBottomArea.setVisibility(View.VISIBLE);
             mHeader.setKeyguardShowing(true);
-            mNotificationPanel.setKeyguardShowing(true);
             mScrimController.setKeyguardShowing(true);
         } else {
             mKeyguardBottomArea.setVisibility(View.GONE);
             mHeader.setKeyguardShowing(false);
-            mNotificationPanel.setKeyguardShowing(false);
             mScrimController.setKeyguardShowing(false);
         }
+        mNotificationPanel.setBarState(mState);
         updateDozingState();
         updateStackScrollerState();
         updatePublicMode();
@@ -2883,7 +2882,6 @@
         mStackScroller.setDimmed(onKeyguard, false /* animate */);
         mStackScroller.setVisibility(!mShowLockscreenNotifications && onKeyguard
                 ? View.INVISIBLE : View.VISIBLE);
-        mStackScroller.setScrollingEnabled(!onKeyguard);
         mStackScroller.setExpandingEnabled(!onKeyguard);
         ActivatableNotificationView activatedChild = mStackScroller.getActivatedChild();
         mStackScroller.setActivatedChild(null);
diff --git a/packages/SystemUI/src/com/android/systemui/statusbar/stack/NotificationStackScrollLayout.java b/packages/SystemUI/src/com/android/systemui/statusbar/stack/NotificationStackScrollLayout.java
index b46d523..2fc4ff3 100644
--- a/packages/SystemUI/src/com/android/systemui/statusbar/stack/NotificationStackScrollLayout.java
+++ b/packages/SystemUI/src/com/android/systemui/statusbar/stack/NotificationStackScrollLayout.java
@@ -30,6 +30,8 @@
 import android.view.ViewTreeObserver;
 import android.view.animation.AnimationUtils;
 import android.widget.OverScroller;
+import android.widget.ScrollView;
+
 import com.android.systemui.ExpandHelper;
 import com.android.systemui.R;
 import com.android.systemui.SwipeHelper;
@@ -166,7 +168,10 @@
      * animating.
      */
     private boolean mOnlyScrollingInThisMotion;
-    private boolean mTouchEnabled = true;
+    private ViewGroup mScrollView;
+    private boolean mInterceptDelegateEnabled;
+    private boolean mDelegateToScrollView;
+
     private ViewTreeObserver.OnPreDrawListener mChildrenUpdater
             = new ViewTreeObserver.OnPreDrawListener() {
         @Override
@@ -465,6 +470,14 @@
         mLongClickListener = listener;
     }
 
+    public void setScrollView(ViewGroup scrollView) {
+        mScrollView = scrollView;
+    }
+
+    public void setInterceptDelegateEnabled(boolean interceptDelegateEnabled) {
+        mInterceptDelegateEnabled = interceptDelegateEnabled;
+    }
+
     public void onChildDismissed(View v) {
         if (DEBUG) Log.v(TAG, "onChildDismissed: " + v);
         final View veto = v.findViewById(R.id.veto);
@@ -535,7 +548,7 @@
             }
             float childTop = slidingChild.getTranslationY();
             float top = childTop + slidingChild.getClipTopAmount();
-            float bottom = childTop + slidingChild.getActualHeight();
+            float bottom = top + slidingChild.getActualHeight();
             int left = slidingChild.getLeft();
             int right = slidingChild.getRight();
 
@@ -618,11 +631,15 @@
 
     @Override
     public boolean onTouchEvent(MotionEvent ev) {
-        if (!isEnabled()) {
-            return false;
-        }
         boolean isCancelOrUp = ev.getActionMasked() == MotionEvent.ACTION_CANCEL
                 || ev.getActionMasked()== MotionEvent.ACTION_UP;
+        if (mDelegateToScrollView) {
+            if (isCancelOrUp) {
+                mDelegateToScrollView = false;
+            }
+            transformTouchEvent(ev, this, mScrollView);
+            return mScrollView.onTouchEvent(ev);
+        }
         boolean expandWantsIt = false;
         if (!mSwipingInProgress && !mOnlyScrollingInThisMotion) {
             if (isCancelOrUp) {
@@ -1341,8 +1358,22 @@
         }
     }
 
+    private void transformTouchEvent(MotionEvent ev, View sourceView, View targetView) {
+        ev.offsetLocation(sourceView.getX(), sourceView.getY());
+        ev.offsetLocation(-targetView.getX(), -targetView.getY());
+    }
+
     @Override
     public boolean onInterceptTouchEvent(MotionEvent ev) {
+        if (mInterceptDelegateEnabled) {
+            transformTouchEvent(ev, this, mScrollView);
+            if (mScrollView.onInterceptTouchEvent(ev)) {
+                mDelegateToScrollView = true;
+                removeLongPressCallback();
+                return true;
+            }
+            transformTouchEvent(ev, mScrollView, this);
+        }
         initDownStates(ev);
         boolean expandWantsIt = false;
         if (!mSwipingInProgress && !mOnlyScrollingInThisMotion) {
@@ -1879,18 +1910,6 @@
         return mTopPadding + getTranslationY();
     }
 
-    public void setTouchEnabled(boolean touchEnabled) {
-        mTouchEnabled = touchEnabled;
-    }
-
-    @Override
-    public boolean dispatchTouchEvent(MotionEvent ev) {
-        if (!mTouchEnabled) {
-            return false;
-        }
-        return super.dispatchTouchEvent(ev);
-    }
-
     @Override
     public boolean shouldDelayChildPressedState() {
         return true;