diff --git a/Makefile b/Makefile
index c941acfba..0e776a140 100644
--- a/Makefile
+++ b/Makefile
@@ -8,10 +8,10 @@ lint:
 	flake8 --require-code --min-version=2.7 --ignore FI50,FI51,FI53,FI14,E402,N802,W605 stacker/tests # ignore setUp naming
 
 test-unit: clean
-	AWS_ACCESS_KEY_ID=x AWS_SECRET_ACCESS_KEY=x AWS_DEFAULT_REGION=us-east-1 python setup.py nosetests
+	python setup.py nosetests
 
 test-unit3: clean
-	AWS_ACCESS_KEY_ID=x AWS_SECRET_ACCESS_KEY=x AWS_DEFAULT_REGION=us-east-1 python3 setup.py nosetests
+	python3 setup.py nosetests
 
 clean:
 	rm -rf .egg stacker.egg-info
diff --git a/setup.py b/setup.py
index 5dfc13928..296015d03 100644
--- a/setup.py
+++ b/setup.py
@@ -9,10 +9,8 @@
 install_requires = [
     "future",
     "troposphere>=1.9.0",
-    # pinning needed till https://github.com/spulec/moto/issues/1924 is
-    # resolved
-    "botocore<1.11.0",
-    "boto3>=1.7.0,<1.8.0",
+    "botocore",
+    "boto3>=1.9.111<2.0",
     "PyYAML>=3.13b1",
     "awacs>=0.6.0",
     "gitpython>=2.0,<3.0",
@@ -23,11 +21,8 @@
 ]
 
 tests_require = [
-    # pinning needed till https://github.com/spulec/moto/issues/1924 is
-    # resolved
-    "aws-xray-sdk==1.1.2",
     "mock~=2.0.0",
-    "moto~=1.1.24",
+    "moto~=1.3.7",
     "testfixtures~=4.10.0",
     "coverage~=4.3.4",
     "flake8-future-import",
@@ -64,6 +59,7 @@ def read(filename):
         install_requires=install_requires,
         tests_require=tests_require,
         setup_requires=setup_requires,
+        extras_require=dict(testing=tests_require),
         test_suite="nose.collector",
         classifiers=[
             "Development Status :: 5 - Production/Stable",
diff --git a/stacker/tests/__init__.py b/stacker/tests/__init__.py
index e69de29bb..8b04f58a9 100644
--- a/stacker/tests/__init__.py
+++ b/stacker/tests/__init__.py
@@ -0,0 +1,34 @@
+from __future__ import absolute_import, division, print_function
+
+import logging
+import os
+
+
+logger = logging.getLogger(__name__)
+_saved_env = {}
+
+
+def setUpModule():
+    # Handle change in  https://github.com/spulec/moto/issues/1924
+    # Ensure AWS SDK find some (bogus) credentials in the environment and
+    # doesn't try to use other providers
+    overrides = {
+        'AWS_ACCESS_KEY_ID': 'testing',
+        'AWS_SECRET_ACCESS_KEY': 'testing',
+        'AWS_DEFAULT_REGION': 'us-east-1'
+    }
+    for key, value in overrides.items():
+        logger.info('Overriding env var: {}={}'.format(key, value))
+        _saved_env[key] = os.environ.get(key, None)
+        os.environ[key] = value
+
+
+def tearDownModule():
+    for key, value in _saved_env.items():
+        logger.info('Restoring saved env var: {}={}'.format(key, value))
+        if value is None:
+            del os.environ[key]
+        else:
+            os.environ[key] = value
+
+    _saved_env.clear()