diff --git a/charts/argocd-apps/Chart.yaml b/charts/argocd-apps/Chart.yaml
index fc733b22f..8eeb0888c 100644
--- a/charts/argocd-apps/Chart.yaml
+++ b/charts/argocd-apps/Chart.yaml
@@ -2,7 +2,7 @@ apiVersion: v2
 name: argocd-apps
 description: A Helm chart for managing additional Argo CD Applications and Projects
 type: application
-version: 1.2.0
+version: 1.3.0
 home: https://github.com/argoproj/argo-helm
 icon: https://argo-cd.readthedocs.io/en/stable/assets/logo.png
 keywords:
@@ -18,4 +18,4 @@ annotations:
     url: https://argoproj.github.io/argo-helm/pgp_keys.asc
   artifacthub.io/changes: |
     - kind: added
-      description: Rollout strategy for ApplicationSet
+      description: add permitOnlyProjectScopedClusters flag to Projects defaulting to false
diff --git a/charts/argocd-apps/templates/projects.yaml b/charts/argocd-apps/templates/projects.yaml
index f747d1b61..f4c273e8a 100644
--- a/charts/argocd-apps/templates/projects.yaml
+++ b/charts/argocd-apps/templates/projects.yaml
@@ -22,6 +22,9 @@ metadata:
     {{- toYaml . | nindent 4 }}
   {{- end }}
 spec:
+  {{- with .permitOnlyProjectScopedClusters }}
+  permitOnlyProjectScopedClusters: {{ . }}
+  {{- end }}
   description: {{ .description }}
   {{- with .sourceRepos }}
   sourceRepos:
diff --git a/charts/argocd-apps/values.yaml b/charts/argocd-apps/values.yaml
index 500849df7..0c329dfe3 100644
--- a/charts/argocd-apps/values.yaml
+++ b/charts/argocd-apps/values.yaml
@@ -48,6 +48,7 @@ projects: []
 #   namespace: argocd
 #   additionalLabels: {}
 #   additionalAnnotations: {}
+#   permitOnlyProjectScopedClusters: false
 #   finalizers:
 #   - resources-finalizer.argocd.argoproj.io
 #   description: Example Project