true was the intended default for useFullSchemaName, 7.4 updated the code so that it was actually true. Yes, you may configure the property by setting importer.useFullSchemaName=false on your model. In your vdb.xml or dynamic vdb file this would look like:
<property name="importer.useFullSchemaName" value="false" />
See the reference and the examples for more on importer/translator settings.
Even if something is imported with a name like "INFORMATION_SCHEMA.CATALOGS", Teiid still allows you to resolve it as CATALOGS. This is non-standard, but is done so that table names can contain foriegn schemas, but use queries can still be partially qualified.
Thanks Steven, we will try that.