diff --git a/scripts/gate-check-commit.sh b/scripts/gate-check-commit.sh
index 7a1d8a9f19..354f2e2442 100755
--- a/scripts/gate-check-commit.sh
+++ b/scripts/gate-check-commit.sh
@@ -183,12 +183,6 @@ if [[ "${ACTION}" == "upgrade" ]]; then
     unset ANSIBLE_PACKAGE
     unset UPPER_CONSTRAINTS_FILE
 
-    # Unset environment variables used by the override_folder
-    # plugin to set paths for group and host vars since the
-    # default locations have changed between Ocata and Pike.
-    unset GROUP_VARS_PATH
-    unset HOST_VARS_PATH
-
     # Kick off the data plane tester
     $(dirname "${0}")/../tests/data-plane-test.sh &
 
diff --git a/scripts/run-upgrade.sh b/scripts/run-upgrade.sh
index 81e4a4bc0e..b2c7bd2b4e 100755
--- a/scripts/run-upgrade.sh
+++ b/scripts/run-upgrade.sh
@@ -164,6 +164,12 @@ function main {
 
     "${SCRIPTS_PATH}/bootstrap-ansible.sh"
 
+    # Unset environment variables used by the override_folder
+    # plugin to set paths for group and host vars since the
+    # default locations have changed between Ocata and Pike.
+    unset GROUP_VARS_PATH
+    unset HOST_VARS_PATH
+
     pushd ${MAIN_PATH}/playbooks
         RUN_TASKS+=("${UPGRADE_PLAYBOOKS}/ansible_fact_cleanup.yml")
         RUN_TASKS+=("${UPGRADE_PLAYBOOKS}/deploy-config-changes.yml")