diff --git a/core/src/main/java/io/grpc/internal/BackoffPolicy.java b/core/src/main/java/io/grpc/internal/BackoffPolicy.java
index e3626b90fc9..21541db2759 100644
--- a/core/src/main/java/io/grpc/internal/BackoffPolicy.java
+++ b/core/src/main/java/io/grpc/internal/BackoffPolicy.java
@@ -25,7 +25,7 @@ interface Provider {
   }
 
   /**
-   * @return The number of milliseconds to wait.
+   * @return The number of nanoseconds to wait.
    */
   long nextBackoffNanos();
 }
diff --git a/core/src/main/java/io/grpc/internal/ManagedChannelImpl.java b/core/src/main/java/io/grpc/internal/ManagedChannelImpl.java
index 7bfce8807a8..e549c11ed13 100644
--- a/core/src/main/java/io/grpc/internal/ManagedChannelImpl.java
+++ b/core/src/main/java/io/grpc/internal/ManagedChannelImpl.java
@@ -639,6 +639,13 @@ private class LbHelperImpl extends LoadBalancer.Helper {
       this.nr = checkNotNull(nr, "NameResolver");
     }
 
+    // Must be called from channelExecutor
+    private void handleInternalSubchannelState(ConnectivityStateInfo newState) {
+      if (newState.getState() == TRANSIENT_FAILURE || newState.getState() == IDLE) {
+        nr.refresh();
+      }
+    }
+
     @Override
     public AbstractSubchannel createSubchannel(
         EquivalentAddressGroup addressGroup, Attributes attrs) {
@@ -660,9 +667,7 @@ void onTerminated(InternalSubchannel is) {
 
               @Override
               void onStateChange(InternalSubchannel is, ConnectivityStateInfo newState) {
-                if ((newState.getState() == TRANSIENT_FAILURE || newState.getState() == IDLE)) {
-                  nr.refresh();
-                }
+                handleInternalSubchannelState(newState);
                 // Call LB only if it's not shutdown.  If LB is shutdown, lbHelper won't match.
                 if (LbHelperImpl.this == ManagedChannelImpl.this.lbHelper) {
                   lb.handleSubchannelState(subchannel, newState);
@@ -757,6 +762,7 @@ void onTerminated(InternalSubchannel is) {
 
             @Override
             void onStateChange(InternalSubchannel is, ConnectivityStateInfo newState) {
+              handleInternalSubchannelState(newState);
               oobChannel.handleSubchannelStateChange(newState);
             }
           },
diff --git a/core/src/main/java/io/grpc/internal/OobChannel.java b/core/src/main/java/io/grpc/internal/OobChannel.java
index a993a4083eb..10747a13c47 100644
--- a/core/src/main/java/io/grpc/internal/OobChannel.java
+++ b/core/src/main/java/io/grpc/internal/OobChannel.java
@@ -18,11 +18,13 @@
 
 import static com.google.common.base.Preconditions.checkNotNull;
 
+import com.google.common.annotations.VisibleForTesting;
 import io.grpc.Attributes;
 import io.grpc.CallOptions;
 import io.grpc.ClientCall;
 import io.grpc.ConnectivityStateInfo;
 import io.grpc.EquivalentAddressGroup;
+import io.grpc.LoadBalancer.Subchannel;
 import io.grpc.LoadBalancer;
 import io.grpc.LoadBalancer.PickResult;
 import io.grpc.LoadBalancer.PickSubchannelArgs;
@@ -223,4 +225,9 @@ void handleSubchannelTerminated() {
     executorPool.returnObject(executor);
     terminatedLatch.countDown();
   }
+
+  @VisibleForTesting
+  Subchannel getSubchannel() {
+    return subchannelImpl;
+  }
 }
diff --git a/core/src/test/java/io/grpc/internal/ManagedChannelImplTest.java b/core/src/test/java/io/grpc/internal/ManagedChannelImplTest.java
index 947adbd90a8..672e24ef263 100644
--- a/core/src/test/java/io/grpc/internal/ManagedChannelImplTest.java
+++ b/core/src/test/java/io/grpc/internal/ManagedChannelImplTest.java
@@ -124,6 +124,7 @@ public class ManagedChannelImplTest {
           .build();
   private static final Attributes.Key<String> SUBCHANNEL_ATTR_KEY =
       Attributes.Key.of("subchannel-attr-key");
+  private static final long RECONNECT_BACKOFF_INTERVAL_NANOS = 1;
   private static int unterminatedChannels;
   private final String serviceName = "fake.example.com";
   private final String authority = serviceName;
@@ -1131,6 +1132,49 @@ public void oobChannelsNoConnectionShutdownNow() {
         anyString(), any(ProxyParameters.class));
   }
 
+  @Test
+  public void refreshNameResolutionWhenSubchannelConnectionFailed() {
+    subtestRefreshNameResolutionWhenConnectionFailed(false);
+  }
+
+  @Test
+  public void refreshNameResolutionWhenOobChannelConnectionFailed() {
+    subtestRefreshNameResolutionWhenConnectionFailed(true);
+  }
+
+  private void subtestRefreshNameResolutionWhenConnectionFailed(boolean isOobChannel) {
+    FakeNameResolverFactory nameResolverFactory = new FakeNameResolverFactory(true);
+    createChannel(nameResolverFactory, NO_INTERCEPTOR);
+    FakeNameResolverFactory.FakeNameResolver resolver = nameResolverFactory.resolvers.get(0);
+
+    if (isOobChannel) {
+      OobChannel oobChannel = (OobChannel) helper.createOobChannel(addressGroup, "oobAuthority");
+      oobChannel.getSubchannel().requestConnection();
+    } else {
+      Subchannel subchannel = helper.createSubchannel(addressGroup, Attributes.EMPTY);
+      subchannel.requestConnection();
+    }
+    
+    MockClientTransportInfo transportInfo = transports.poll();
+    assertNotNull(transportInfo);
+
+    // Transport closed when connecting
+    assertEquals(0, resolver.refreshCalled);
+    transportInfo.listener.transportShutdown(Status.UNAVAILABLE);
+    assertEquals(1, resolver.refreshCalled);
+
+    timer.forwardNanos(RECONNECT_BACKOFF_INTERVAL_NANOS);
+    transportInfo = transports.poll();
+    assertNotNull(transportInfo);
+
+    transportInfo.listener.transportReady();
+
+    // Transport closed when ready
+    assertEquals(1, resolver.refreshCalled);
+    transportInfo.listener.transportShutdown(Status.UNAVAILABLE);
+    assertEquals(2, resolver.refreshCalled);
+  }
+
   @Test
   public void uriPattern() {
     assertTrue(ManagedChannelImpl.URI_PATTERN.matcher("a:/").matches());
@@ -1570,7 +1614,7 @@ public BackoffPolicy get() {
       return new BackoffPolicy() {
         @Override
         public long nextBackoffNanos() {
-          return 1;
+          return RECONNECT_BACKOFF_INTERVAL_NANOS;
         }
       };
     }
@@ -1621,6 +1665,7 @@ void allResolved() {
     private class FakeNameResolver extends NameResolver {
       Listener listener;
       boolean shutdown;
+      int refreshCalled;
 
       @Override public String getServiceAuthority() {
         return expectedUri.getAuthority();
@@ -1633,6 +1678,10 @@ private class FakeNameResolver extends NameResolver {
         }
       }
 
+      @Override public void refresh() {
+        refreshCalled++;
+      }
+
       void resolved() {
         listener.onAddresses(servers, Attributes.EMPTY);
       }