So I've got a single forest using 2012 R2 functional domain. I inherited this environment so this is the first time I've created any GPOs for this domain. We are using terminal servers, so the ultimate reason I had to create this GPO was to restrict users. Right now they login onto the 2012 R2 TS and they've got access to Powershell, cmd, admin tools, all kinds of bad stuff, etc. The policy was created easily enough, I applied it to that OU where the users reside (they were all User Config GPOs) and everything looked good. It was link enabled, no exclamation marks anywhere, nothing blocking inheritance, etc. Well I login as that user (or create a test user) and nothing is different. I run a gpresult and nowhere to be found is any mention of that GPO (in applied or denied).
I tried logging onto another TS to rule that out and it behaves the same way. I created a test policy that's obviously much less restrictive. If I apply it to that same departmental OU as the other one, it won't apply. If I apply it to the entire User OU, it again will not apply. Now if I apply it to the entire domain, it will actually apply.
I checked replication between the 3 DCs using repadmin and everything looked fine. I looked at the SYSVOL folder on all of the DCs and the GPO is being created there on all of them.
Any ideas? I'm going to have to call MS Support if not.