diff --git a/common/test.py b/common/test.py
index c54febe..f6889ab 100644
--- a/common/test.py
+++ b/common/test.py
@@ -310,7 +310,8 @@
         while timeutils.delta_seconds(start,
                                       timeutils.utcnow()) < build_timeout:
             try:
-                stack = self.client.stacks.get(stack_identifier)
+                stack = self.client.stacks.get(stack_identifier,
+                                               resolve_outputs=False)
             except heat_exceptions.HTTPNotFound:
                 if success_on_not_found:
                     return
@@ -367,7 +368,7 @@
         stack_name = stack_identifier.split('/')[0]
 
         self.updated_time[stack_identifier] = self.client.stacks.get(
-            stack_identifier).updated_time
+            stack_identifier, resolve_outputs=False).updated_time
 
         self._handle_in_progress(
             self.client.stacks.update,
@@ -439,7 +440,7 @@
         nested_identifier = '/'.join(nested_href.split('/')[-2:])
         self.assertEqual(rsrc.physical_resource_id, nested_id)
 
-        nested_stack = self.client.stacks.get(nested_id)
+        nested_stack = self.client.stacks.get(nested_id, resolve_outputs=False)
         nested_identifier2 = '%s/%s' % (nested_stack.stack_name,
                                         nested_stack.id)
         self.assertEqual(nested_identifier, nested_identifier2)
@@ -453,7 +454,8 @@
         rsrc = self.client.resources.get(stack_identifier, group_name)
         physical_resource_id = rsrc.physical_resource_id
 
-        nested_stack = self.client.stacks.get(physical_resource_id)
+        nested_stack = self.client.stacks.get(physical_resource_id,
+                                              resolve_outputs=False)
         nested_identifier = '%s/%s' % (nested_stack.stack_name,
                                        nested_stack.id)
         parent_id = stack_identifier.split("/")[-1]
@@ -495,7 +497,7 @@
         if expected_status not in ['ROLLBACK_COMPLETE'] and enable_cleanup:
             self.addCleanup(self._stack_delete, name)
 
-        stack = self.client.stacks.get(name)
+        stack = self.client.stacks.get(name, resolve_outputs=False)
         stack_identifier = '%s/%s' % (name, stack.id)
         kwargs = {'stack_identifier': stack_identifier,
                   'status': expected_status}
@@ -526,8 +528,7 @@
             adopt_stack_data=adopt_data,
         )
         self.addCleanup(self._stack_delete, name)
-
-        stack = self.client.stacks.get(name)
+        stack = self.client.stacks.get(name, resolve_outputs=False)
         stack_identifier = '%s/%s' % (name, stack.id)
         self._wait_for_stack_status(stack_identifier, wait_for_status)
         return stack_identifier
diff --git a/functional/test_default_parameters.py b/functional/test_default_parameters.py
index a33823f..7201969 100644
--- a/functional/test_default_parameters.py
+++ b/functional/test_default_parameters.py
@@ -77,7 +77,7 @@
             # remove the default from the parameter in the nested template.
             ntempl = yaml.safe_load(self.nested_template)
             del ntempl['parameters']['length']['default']
-            nested_template = yaml.dump(ntempl)
+            nested_template = yaml.safe_dump(ntempl)
         else:
             nested_template = self.nested_template
 
diff --git a/functional/test_hooks.py b/functional/test_hooks.py
index d9ebd44..bafb0ef 100644
--- a/functional/test_hooks.py
+++ b/functional/test_hooks.py
@@ -191,7 +191,7 @@
                          res_after.physical_resource_id)
 
     def test_hook_pre_create_nested(self):
-        files = {'nested.yaml': yaml.dump(self.template)}
+        files = {'nested.yaml': yaml.safe_dump(self.template)}
         env = {'resource_registry':
                {'resources':
                 {'nested':
diff --git a/functional/test_template_resource.py b/functional/test_template_resource.py
index fa34e2e..9a3e833 100644
--- a/functional/test_template_resource.py
+++ b/functional/test_template_resource.py
@@ -848,3 +848,90 @@
             exp = ('ERROR: Attribute here-it-is for facade '
                    'OS::Thingy missing in provider')
             self.assertEqual(exp, six.text_type(exc))
+
+
+class TemplateResourceNewParamTest(functional_base.FunctionalTestsBase):
+
+    main_template = '''
+heat_template_version: 2013-05-23
+resources:
+  my_resource:
+    type: resource.yaml
+    properties:
+      value1: foo
+'''
+    nested_templ = '''
+heat_template_version: 2013-05-23
+parameters:
+  value1:
+    type: string
+resources:
+  test:
+    type: OS::Heat::TestResource
+    properties:
+      value: {get_param: value1}
+'''
+    main_template_update = '''
+heat_template_version: 2013-05-23
+resources:
+  my_resource:
+    type: resource.yaml
+    properties:
+      value1: foo
+      value2: foo
+'''
+    nested_templ_update_fail = '''
+heat_template_version: 2013-05-23
+parameters:
+  value1:
+    type: string
+  value2:
+    type: string
+resources:
+  test:
+    type: OS::Heat::TestResource
+    properties:
+      fail: True
+      value:
+        str_replace:
+          template: VAL1-VAL2
+          params:
+            VAL1: {get_param: value1}
+            VAL2: {get_param: value2}
+'''
+    nested_templ_update = '''
+heat_template_version: 2013-05-23
+parameters:
+  value1:
+    type: string
+  value2:
+    type: string
+resources:
+  test:
+    type: OS::Heat::TestResource
+    properties:
+      value:
+        str_replace:
+          template: VAL1-VAL2
+          params:
+            VAL1: {get_param: value1}
+            VAL2: {get_param: value2}
+'''
+
+    def test_update(self):
+        stack_identifier = self.stack_create(
+            template=self.main_template,
+            files={'resource.yaml': self.nested_templ})
+
+        # Make the update fails with the new parameter inserted.
+        self.update_stack(
+            stack_identifier,
+            self.main_template_update,
+            files={'resource.yaml': self.nested_templ_update_fail},
+            expected_status='UPDATE_FAILED')
+
+        # Fix the update, it should succeed now.
+        self.update_stack(
+            stack_identifier,
+            self.main_template_update,
+            files={'resource.yaml': self.nested_templ_update})