diff --git a/.gitignore b/.gitignore
index 1121ca422..46879ee6c 100644
--- a/.gitignore
+++ b/.gitignore
@@ -26,4 +26,4 @@ designate/versioninfo
 /bind9
 /dnsmasq
 .testrepository/*
-contrib/devstack/.vagrant/
+contrib/vagrant/.vagrant/
diff --git a/contrib/devstack/Vagrantfile b/contrib/vagrant/Vagrantfile
similarity index 95%
rename from contrib/devstack/Vagrantfile
rename to contrib/vagrant/Vagrantfile
index 1e1656b00..8fd8d8a3c 100644
--- a/contrib/devstack/Vagrantfile
+++ b/contrib/vagrant/Vagrantfile
@@ -31,13 +31,16 @@ if [ ! -d "/home/vagrant/devstack" ]; then
     git clone https://git.openstack.org/openstack-dev/devstack.git /home/vagrant/devstack
 fi
 
-# Install Designate DevStack extension
-cd /vagrant
+# Install Vagrant localrc sample
+cd /opt/stack/designate/contrib/vagrant
 
 if [ ! -f "/home/vagrant/devstack/localrc" ]; then
     cp localrc /home/vagrant/devstack/localrc
 fi
 
+# Install Designate DevStack extension
+cd /opt/stack/designate/contrib/devstack
+
 for f in lib/* extras.d/* exercises/*; do
     if [ ! -f "/home/vagrant/devstack/$f" ]; then
         ln -fs /vagrant/$f -t /home/vagrant/devstack/$(dirname $f)
diff --git a/contrib/devstack/localrc b/contrib/vagrant/localrc
similarity index 87%
rename from contrib/devstack/localrc
rename to contrib/vagrant/localrc
index cb0b4c27d..6aa45535f 100644
--- a/contrib/devstack/localrc
+++ b/contrib/vagrant/localrc
@@ -1,6 +1,3 @@
-# **** NOTE **** Changes to this file only affect the local vagrant environment
-# and not the gate jobs
-
 # Passwords
 ADMIN_PASSWORD=password
 MYSQL_PASSWORD=password