diff --git a/src/pylorax/api/yumbase.py b/src/pylorax/api/yumbase.py
index c770be90..09ac3d85 100644
--- a/src/pylorax/api/yumbase.py
+++ b/src/pylorax/api/yumbase.py
@@ -22,6 +22,7 @@ log = logging.getLogger("lorax-composer")
 import ConfigParser
 from fnmatch import fnmatchcase
 from glob import glob
+from distutils.util import strtobool
 import os
 import yum
 # This is a hack to short circuit yum's internal logging
@@ -56,7 +57,7 @@ def get_base_object(conf):
     if conf.get_default("yum", "proxy", None):
         data["proxy"] = conf.get("yum", "proxy")
 
-    if conf.get_default("yum", "sslverify", None) == False:
+    if conf.has_option("yum", "sslverify") and not conf.getboolean("yum", "sslverify"):
         data["sslverify"] = "0"
 
     c.add_section(section)
@@ -93,7 +94,7 @@ def get_base_object(conf):
     # Gather up all the available repo files, add the ones matching "repos":"enabled" patterns
     enabled_repos = conf.get("repos", "enabled").split(",")
     repo_files = glob(joinpaths(repodir, "*.repo"))
-    if conf.get_default("repos", "use_system_repos", True):
+    if not conf.has_option("repos", "use_system_repos") or conf.getboolean("repos", "use_system_repos"):
         repo_files.extend(glob("/etc/yum.repos.d/*.repo"))
 
     for repo_file in repo_files:
diff --git a/tests/pylorax/test_yumbase.py b/tests/pylorax/test_yumbase.py
new file mode 100644
index 00000000..7443a1f6
--- /dev/null
+++ b/tests/pylorax/test_yumbase.py
@@ -0,0 +1,86 @@
+#
+# Copyright (C) 2018  Red Hat, Inc.
+#
+# This program is free software; you can redistribute it and/or modify
+# it under the terms of the GNU General Public License as published by
+# the Free Software Foundation; either version 2 of the License, or
+# (at your option) any later version.
+#
+# This program is distributed in the hope that it will be useful,
+# but WITHOUT ANY WARRANTY; without even the implied warranty of
+# MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the
+# GNU General Public License for more details.
+#
+# You should have received a copy of the GNU General Public License
+# along with this program.  If not, see <http://www.gnu.org/licenses/>.
+#
+import os
+import shutil
+import tempfile
+import unittest
+from glob import glob
+
+import ConfigParser
+
+from pylorax.api.config import configure, make_yum_dirs
+from pylorax.api.yumbase import get_base_object
+
+
+class YumbaseTest(unittest.TestCase):
+    @classmethod
+    def setUpClass(self):
+        self.tmp_dir = tempfile.mkdtemp(prefix="lorax.test.yumbase.")
+        conf_file = os.path.join(self.tmp_dir, 'test.conf')
+        open(conf_file, 'w').write("""[composer]
+# releasever different from the current default
+releasever = 6
+[yum]
+proxy = https://proxy.example.com
+sslverify = False
+[repos]
+use_system_repos = False
+""")
+
+        # will read the above configuration
+        config = configure(conf_file=conf_file, root_dir=self.tmp_dir)
+        make_yum_dirs(config)
+
+        # will read composer config and store a yum config file
+        self.yb = get_base_object(config)
+
+        # will read the stored yum config file
+        self.yumconf = ConfigParser.ConfigParser()
+        self.yumconf.read([config.get("composer", "yum_conf")])
+
+    @classmethod
+    def tearDownClass(self):
+        shutil.rmtree(self.tmp_dir)
+
+    def test_stores_yum_proxy_from_composer_config(self):
+        self.assertEqual('https://proxy.example.com', self.yumconf.get('main', 'proxy'))
+
+    def test_disables_sslverify_if_composer_disables_it(self):
+        self.assertEqual('0', self.yumconf.get('main', 'sslverify'))
+
+    def test_sets_releasever_from_composer(self):
+        self.assertEqual('6', self.yb.conf.yumvar['releasever'])
+
+    def test_doesnt_use_system_repos(self):
+        # no other repos defined for this test
+        self.assertEqual({}, self.yb._repos.repos)
+
+
+class CreateYumDirsTest(unittest.TestCase):
+    @classmethod
+    def setUpClass(self):
+        # remove this directory
+        if os.path.exists('/var/tmp/composer/yum/root'):
+            shutil.rmtree('/var/tmp/composer/yum/root')
+
+    def test_creates_missing_yum_root_directory(self):
+        config = configure(test_config=True)
+
+        # will create the above directory if missing
+        _ = get_base_object(config)
+
+        self.assertTrue(os.path.exists('/var/tmp/composer/yum/root'))