diff --git a/.functests b/.functests
index 65a9ea191c..af989f50ff 100755
--- a/.functests
+++ b/.functests
@@ -1,9 +1,11 @@
 #!/bin/bash
 
 SRC_DIR=$(python -c "import os; print os.path.dirname(os.path.realpath('$0'))")
+set -e
 
-cd ${SRC_DIR}/test/functional
-nosetests --exe $@
+cd ${SRC_DIR}
+export TESTS_DIR=${SRC_DIR}/test/functional
+ostestr --serial --pretty $@
 rvalue=$?
 cd -
 
diff --git a/.gitignore b/.gitignore
index 9c4f1c6b10..580518daac 100644
--- a/.gitignore
+++ b/.gitignore
@@ -15,4 +15,6 @@ pycscope.*
 .idea
 MANIFEST
 
+.testrepository/*
+subunit.log
 test/probe/.noseids
diff --git a/.testr.conf b/.testr.conf
new file mode 100644
index 0000000000..293e07d22d
--- /dev/null
+++ b/.testr.conf
@@ -0,0 +1,6 @@
+[DEFAULT]
+test_command=SWIFT_TEST_DEBUG_LOGS=${SWIFT_TEST_DEBUG_LOGS} \
+             ${PYTHON:-python} -m subunit.run \
+             discover -t ./ ${TESTS_DIR:-./test/functional/} $LISTOPT $IDOPTION
+test_id_option=--load-list $IDFILE
+test_list_option=--list
diff --git a/test-requirements.txt b/test-requirements.txt
index 73ca508fe3..0c6e9fe2cc 100644
--- a/test-requirements.txt
+++ b/test-requirements.txt
@@ -10,6 +10,7 @@ nosexcover
 nosehtmloutput
 oslosphinx
 sphinx>=1.1.2,<1.2
+os-testr>=0.4.1
 mock>=1.0
 python-swiftclient
 python-keystoneclient>=1.3.0
diff --git a/test/functional/__init__.py b/test/functional/__init__.py
index 242a4667a9..a2b422ec01 100644
--- a/test/functional/__init__.py
+++ b/test/functional/__init__.py
@@ -109,7 +109,7 @@ orig_hash_path_suff_pref = ('', '')
 orig_swift_conf_name = None
 
 in_process = False
-_testdir = _test_servers = _test_coros = None
+_testdir = _test_servers = _test_coros = _test_socks = None
 policy_specified = None
 
 
@@ -290,6 +290,7 @@ def in_process_setup(the_object_server=object_server):
     _info('IN-PROCESS SERVERS IN USE FOR FUNCTIONAL TESTS')
     _info('Using object_server class: %s' % the_object_server.__name__)
     conf_src_dir = os.environ.get('SWIFT_TEST_IN_PROCESS_CONF_DIR')
+    show_debug_logs = os.environ.get('SWIFT_TEST_DEBUG_LOGS')
 
     if conf_src_dir is not None:
         if not os.path.isdir(conf_src_dir):
@@ -339,10 +340,13 @@ def in_process_setup(the_object_server=object_server):
     orig_hash_path_suff_pref = utils.HASH_PATH_PREFIX, utils.HASH_PATH_SUFFIX
     utils.validate_hash_conf()
 
+    global _test_socks
+    _test_socks = []
     # We create the proxy server listening socket to get its port number so
     # that we can add it as the "auth_port" value for the functional test
     # clients.
     prolis = eventlet.listen(('localhost', 0))
+    _test_socks.append(prolis)
 
     # The following set of configuration values is used both for the
     # functional test frame work and for the various proxy, account, container
@@ -388,6 +392,7 @@ def in_process_setup(the_object_server=object_server):
     acc2lis = eventlet.listen(('localhost', 0))
     con1lis = eventlet.listen(('localhost', 0))
     con2lis = eventlet.listen(('localhost', 0))
+    _test_socks += [acc1lis, acc2lis, con1lis, con2lis] + obj_sockets
 
     account_ring_path = os.path.join(_testdir, 'account.ring.gz')
     with closing(GzipFile(account_ring_path, 'wb')) as f:
@@ -416,23 +421,30 @@ def in_process_setup(the_object_server=object_server):
     # Default to only 4 seconds for in-process functional test runs
     eventlet.wsgi.WRITE_TIMEOUT = 4
 
+    def get_logger_name(name):
+        if show_debug_logs:
+            return debug_logger(name)
+        else:
+            return None
+
     acc1srv = account_server.AccountController(
-        config, logger=debug_logger('acct1'))
+        config, logger=get_logger_name('acct1'))
     acc2srv = account_server.AccountController(
-        config, logger=debug_logger('acct2'))
+        config, logger=get_logger_name('acct2'))
     con1srv = container_server.ContainerController(
-        config, logger=debug_logger('cont1'))
+        config, logger=get_logger_name('cont1'))
     con2srv = container_server.ContainerController(
-        config, logger=debug_logger('cont2'))
+        config, logger=get_logger_name('cont2'))
 
     objsrvs = [
         (obj_sockets[index],
          the_object_server.ObjectController(
-             config, logger=debug_logger('obj%d' % (index + 1))))
+             config, logger=get_logger_name('obj%d' % (index + 1))))
         for index in range(len(obj_sockets))
     ]
 
-    logger = debug_logger('proxy')
+    if show_debug_logs:
+        logger = debug_logger('proxy')
 
     def get_logger(name, *args, **kwargs):
         return logger
@@ -446,6 +458,8 @@ def in_process_setup(the_object_server=object_server):
                 raise InProcessException(e)
 
     nl = utils.NullLogger()
+    global proxy_srv
+    proxy_srv = prolis
     prospa = eventlet.spawn(eventlet.wsgi.server, prolis, app, nl)
     acc1spa = eventlet.spawn(eventlet.wsgi.server, acc1lis, acc1srv, nl)
     acc2spa = eventlet.spawn(eventlet.wsgi.server, acc2lis, acc2srv, nl)
@@ -487,6 +501,7 @@ def get_cluster_info():
     # We'll update those constraints based on what the /info API provides, if
     # anything.
     global cluster_info
+    global config
     try:
         conn = Connection(config)
         conn.authenticate()
@@ -536,6 +551,7 @@ def setup_package():
 
     global in_process
 
+    global config
     if use_in_process:
         # Explicitly set to True, so barrel on ahead with in-process
         # functional test setup.
@@ -722,7 +738,6 @@ def setup_package():
                 % policy_specified)
             raise Exception('Failed to find specified policy %s'
                             % policy_specified)
-
     get_cluster_info()
 
 
@@ -731,16 +746,21 @@ def teardown_package():
     locale.setlocale(locale.LC_COLLATE, orig_collate)
 
     # clean up containers and objects left behind after running tests
+    global config
     conn = Connection(config)
     conn.authenticate()
     account = Account(conn, config.get('account', config['username']))
     account.delete_containers()
 
     global in_process
+    global _test_socks
     if in_process:
         try:
-            for server in _test_coros:
+            for i, server in enumerate(_test_coros):
                 server.kill()
+                if not server.dead:
+                    # kill it from the socket level
+                    _test_socks[i].close()
         except Exception:
             pass
         try:
@@ -751,6 +771,7 @@ def teardown_package():
             orig_hash_path_suff_pref
         utils.SWIFT_CONF_FILE = orig_swift_conf_name
         constraints.reload_constraints()
+        reset_globals()
 
 
 class AuthError(Exception):
@@ -768,6 +789,17 @@ parsed = [None, None, None, None, None]
 conn = [None, None, None, None, None]
 
 
+def reset_globals():
+    global url, token, service_token, parsed, conn, config
+    url = [None, None, None, None, None]
+    token = [None, None, None, None, None]
+    service_token = [None, None, None, None, None]
+    parsed = [None, None, None, None, None]
+    conn = [None, None, None, None, None]
+    if config:
+        config = {}
+
+
 def connection(url):
     if has_insecure:
         parsed_url, http_conn = http_connection(url, insecure=insecure)
diff --git a/test/functional/test_account.py b/test/functional/test_account.py
index e952c0923b..e2847f29be 100755
--- a/test/functional/test_account.py
+++ b/test/functional/test_account.py
@@ -29,6 +29,14 @@ from test.functional import check_response, retry, requires_acls, \
 import test.functional as tf
 
 
+def setUpModule():
+    tf.setup_package()
+
+
+def tearDownModule():
+    tf.teardown_package()
+
+
 class TestAccount(unittest.TestCase):
 
     def setUp(self):
diff --git a/test/functional/test_container.py b/test/functional/test_container.py
index 345aa0aa84..c4a8a3fcdf 100755
--- a/test/functional/test_container.py
+++ b/test/functional/test_container.py
@@ -27,6 +27,14 @@ import test.functional as tf
 from six.moves import range
 
 
+def setUpModule():
+    tf.setup_package()
+
+
+def tearDownModule():
+    tf.teardown_package()
+
+
 class TestContainer(unittest.TestCase):
 
     def setUp(self):
diff --git a/test/functional/test_object.py b/test/functional/test_object.py
index 55868098be..b13d3f8fe7 100755
--- a/test/functional/test_object.py
+++ b/test/functional/test_object.py
@@ -27,6 +27,14 @@ from test.functional import check_response, retry, requires_acls, \
 import test.functional as tf
 
 
+def setUpModule():
+    tf.setup_package()
+
+
+def tearDownModule():
+    tf.teardown_package()
+
+
 class TestObject(unittest.TestCase):
 
     def setUp(self):
diff --git a/test/functional/tests.py b/test/functional/tests.py
index 571a6b3473..fcc239c4c4 100644
--- a/test/functional/tests.py
+++ b/test/functional/tests.py
@@ -39,6 +39,14 @@ from test.functional.swift_test_client import Account, Connection, File, \
     ResponseError
 
 
+def setUpModule():
+    tf.setup_package()
+
+
+def tearDownModule():
+    tf.teardown_package()
+
+
 class Utils(object):
     @classmethod
     def create_ascii_name(cls, length=None):
diff --git a/test/unit/account/test_backend.py b/test/unit/account/test_backend.py
index ca89736e5c..ebc0ebfca2 100644
--- a/test/unit/account/test_backend.py
+++ b/test/unit/account/test_backend.py
@@ -37,7 +37,7 @@ from test.unit import patch_policies, with_tempdir, make_timestamp_iter
 from swift.common.db import DatabaseConnectionError
 from swift.common.storage_policy import StoragePolicy, POLICIES
 
-from test.unit.common.test_db import TestExampleBroker
+from test.unit.common import test_db
 
 
 @patch_policies
@@ -979,7 +979,7 @@ def premetadata_create_account_stat_table(self, conn, put_timestamp):
               put_timestamp))
 
 
-class TestCommonAccountBroker(TestExampleBroker):
+class TestCommonAccountBroker(test_db.TestExampleBroker):
 
     broker_class = AccountBroker
 
diff --git a/test/unit/container/test_backend.py b/test/unit/container/test_backend.py
index 332e161eef..721f0f9094 100644
--- a/test/unit/container/test_backend.py
+++ b/test/unit/container/test_backend.py
@@ -36,7 +36,7 @@ import mock
 
 from test.unit import (patch_policies, with_tempdir, make_timestamp_iter,
                        EMPTY_ETAG)
-from test.unit.common.test_db import TestExampleBroker
+from test.unit.common import test_db
 
 
 class TestContainerBroker(unittest.TestCase):
@@ -1680,7 +1680,7 @@ class TestContainerBroker(unittest.TestCase):
         self.assertEqual(broker.get_policy_stats(), expected)
 
 
-class TestCommonContainerBroker(TestExampleBroker):
+class TestCommonContainerBroker(test_db.TestExampleBroker):
 
     broker_class = ContainerBroker
 
diff --git a/tox.ini b/tox.ini
index ac22896de4..46e7b37494 100644
--- a/tox.ini
+++ b/tox.ini
@@ -45,7 +45,7 @@ commands =
   flake8 --filename=swift* bin
 
 [testenv:func]
-commands = nosetests {posargs:test/functional}
+commands = ./.functests {posargs}
 
 [testenv:venv]
 commands = {posargs}