New Blog Templates: Template selection appears, but choice doesn't take effect

I am using New Blog Templates in a multisite config and have checked the box in the settings to allow users to select what template they want.

All the templates show up and it does show that they are selecting the template, but when the continue and site is all set up after email verification, the site has a theme that isn't even one of the choices. All sites go to that theme. The theme it keeps giving by default is one that isn't a template nor is it even network activated.

Can someone help please?