diff --git a/nova/auth/manager.py b/nova/auth/manager.py
index f7f454898..4a813c861 100644
--- a/nova/auth/manager.py
+++ b/nova/auth/manager.py
@@ -528,7 +528,11 @@ class AuthManager(object):
                                                member_users)
             if project_dict:
                 project = Project(**project_dict)
-                # FIXME(ja): create network?
+                # FIXME(ja): EVIL HACK - this should poll from a pool
+                session = models.create_session()
+                net = models.Network(project_id=project.id, kind='vlan')
+                session.add(net)
+                session.commit()
                 return project
 
     def add_to_project(self, user, project):
diff --git a/nova/models.py b/nova/models.py
index 067616029..51600bd24 100644
--- a/nova/models.py
+++ b/nova/models.py
@@ -22,7 +22,6 @@ class Image(Base):
     created_at = Column(DateTime)
     updated_at = Column(DateTime) # auto update on change FIXME
 
-
     @validates('image_type')
     def validate_image_type(self, key, image_type):
         assert(image_type in ['machine', 'kernel', 'ramdisk', 'raw'])
@@ -46,6 +45,7 @@ class Network(Base):
     id = Column(Integer, primary_key=True)
     bridge = Column(String)
     vlan = Column(String)
+    kind = Column(String)
     #vpn_port = Column(Integer)
     project_id = Column(String) #, ForeignKey('projects.id'), nullable=False)
 
@@ -77,7 +77,8 @@ class Instance(Base):
     key_data = Column(Text)
     security_group = Column(String)
 
-    state = Column(String)
+    state = Column(Integer)
+    state_description = Column(String)
 
     hostname = Column(String)
     physical_node_id = Column(Integer)
@@ -86,6 +87,13 @@ class Instance(Base):
 
     user_data = Column(Text)
 
+    def set_state(self, state_code, state_description=None):
+        from nova.compute import power_state
+        self.state = state_code
+        if not state_description:
+            state_description = power_state.name(state_code)
+        self.state_description = state_description
+
 #    ramdisk = relationship(Ramdisk, backref=backref('instances', order_by=id))
 #    kernel = relationship(Kernel, backref=backref('instances', order_by=id))
 #    project = relationship(Project, backref=backref('instances', order_by=id))
@@ -95,9 +103,9 @@ class Instance(Base):
     # power_state = what we have
     # task_state = transitory and may trigger power state transition
 
-    @validates('state')
-    def validate_state(self, key, state):
-        assert(state in ['nostate', 'running', 'blocked', 'paused', 'shutdown', 'shutoff', 'crashed'])
+    #@validates('state')
+    #def validate_state(self, key, state):
+    #    assert(state in ['nostate', 'running', 'blocked', 'paused', 'shutdown', 'shutoff', 'crashed'])
 
 class Volume(Base):
     __tablename__ = 'volumes'
diff --git a/nova/tests/compute_unittest.py b/nova/tests/compute_unittest.py
index c079f9a4d..b2a89a345 100644
--- a/nova/tests/compute_unittest.py
+++ b/nova/tests/compute_unittest.py
@@ -91,31 +91,25 @@ class ComputeConnectionTestCase(test.TrialTestCase):
     def test_run_describe_terminate(self):
         instance_id = self.create_instance()
 
-        rv = yield self.compute.run_instance(instance_id)
+        yield self.compute.run_instance(instance_id)
 
-        rv = yield self.compute.describe_instances()
-        logging.info("Running instances: %s", rv)
-        self.assertEqual(rv[instance_id].name, instance_id)
+        session = models.create_session()
+        instances = session.query(models.Instance).all()
+        logging.info("Running instances: %s", instances)
+        self.assertEqual(len(instances), 1)
 
-        rv = yield self.compute.terminate_instance(instance_id)
+        yield self.compute.terminate_instance(instance_id)
 
-        rv = yield self.compute.describe_instances()
-        logging.info("After terminating instances: %s", rv)
-        self.assertEqual(rv, {})
+        instances = session.query(models.Instance).all()
+        logging.info("After terminating instances: %s", instances)
+        self.assertEqual(len(instances), 0)
 
     @defer.inlineCallbacks
     def test_reboot(self):
         instance_id = self.create_instance()
-        rv = yield self.compute.run_instance(instance_id)
-
-        rv = yield self.compute.describe_instances()
-        self.assertEqual(rv[instance_id].name, instance_id)
-
+        yield self.compute.run_instance(instance_id)
         yield self.compute.reboot_instance(instance_id)
-
-        rv = yield self.compute.describe_instances()
-        self.assertEqual(rv[instance_id].name, instance_id)
-        rv = yield self.compute.terminate_instance(instance_id)
+        yield self.compute.terminate_instance(instance_id)
 
     @defer.inlineCallbacks
     def test_console_output(self):
@@ -129,10 +123,6 @@ class ComputeConnectionTestCase(test.TrialTestCase):
     @defer.inlineCallbacks
     def test_run_instance_existing(self):
         instance_id = self.create_instance()
-        rv = yield self.compute.run_instance(instance_id)
-
-        rv = yield self.compute.describe_instances()
-        self.assertEqual(rv[instance_id].name, instance_id)
-
-        self.assertRaises(exception.Error, self.compute.run_instance, instance_id)
-        rv = yield self.compute.terminate_instance(instance_id)
+        yield self.compute.run_instance(instance_id)
+        self.assertFailure(self.compute.run_instance(instance_id), exception.Error)
+        yield self.compute.terminate_instance(instance_id)