diff --git a/modules/django.py b/modules/django.py
index 058dd78..ef0d8c8 100644
--- a/modules/django.py
+++ b/modules/django.py
@@ -122,30 +122,55 @@ def manage(args="help", workingdir=None, prefix="", suffix=""):
     # shell='/bin/bash' in all uses of local!
 
 
+def coverage_test():
+    """
+    helper method to determine if coverage config exists and if not print
+    out an error message
+    """
+
+    configuration = env.config
+
+    if configuration.coverage is None:
+        print("\n\nWARNING! There is no coverage file specified "
+              "in the virtualenv settings for this branch!")
+
+        print("\ncoverage file settings should resemble the following:\n")
+
+        print("coverage:")
+        print("  config: setup.cfg")
+        print("  paths:")
+        print("    root: share/coverage")
+        print("    html: htmlcov")
+
+        print("\nExiting.")
+
+        import sys
+        sys.exit()
+
+
 @task
 def coverage(args="test", workingdir=None, outputdir=None,
-             coveragerc=False, report=True, html=True):
+             coveragerc=True, report=True, html=True):
     """
     helper method that uses the coverage package
 
-    coveragerc file is only locaterd in share/coverage/setup.cfg
+    coveragerc file is located in share/coverage/setup.cfg
+    you can modify this in the virtualenv settings for this branch
 
     TODO: test if coverage is installed and if it isn't give
     an error explaining the problem
     """
+
     configuration = env.config
 
+    coverage_test()
+
     prefix = "coverage run"
 
     suffix = ""
 
-    coveragepath = "{projectroot}/share/coverage".format(
-        projectroot=configuration.paths.project.root,
-        outputdir=outputdir)
-
     if coveragerc:
-        prefix += " --rcfile={coveragepath}/setup.cfg".format(
-            coveragepath=coveragepath)
+        prefix += " --rcfile=%s" % configuration.coverage.config
 
     if report:
         suffix += " && coverage report"
@@ -153,20 +178,11 @@ def coverage(args="test", workingdir=None, outputdir=None,
     if html:
         suffix += " && coverage html"
 
-    if outputdir:
-        outputpath = outputdir
-
-    else:
-        outputpath = coveragepath
-
-    outputpath += "/htmlcov"
-    suffix += " -d %s" % outputpath
+    suffix += " -d %s" % configuration.coverage.paths.html
 
     if env.debug:
         print("args: %s" % args)
         print("workigindir: %s" % args)
-        print("\noutput directory: %s" % outputdir)
-        print("full output path: %s" % outputpath)
         print("\nis report: %s" % report)
         print("is html: %s" % html)
         print("\nprefix: %s" % prefix)
@@ -743,11 +759,25 @@ def edit(param='help'):
             django_path=django_path,
             project_branch=project_branch)
 
+    #
+    # set .coveragerc path and filename
+
+    if param == 'coverage':
+        coverage_test()
+
+    settings_coveragepath = "{projectroot}/share/coverage/settings.cfg".format(
+        projectroot=configuration.paths.project.root)
+
     file_debug_handler = configuration.logging.django.handlers.file_debug
 
-    # locations = ['gunicorn', 'gunicorn_link', 'gunicorn_build',
+    # locations = ['coverage', 'gunicorn', 'gunicorn_link', 'gunicorn_build',
     # 'settings', 'local']
     locations = {
+        'coverage': {
+            'path': configuration.coverage.config,
+            'desc': 'coveragerc config file',
+        },
+
         'gunicorn': {
             'path': link_path,
             'desc': 'gunicorn.conf file',
diff --git a/modules/initialize.py b/modules/initialize.py
index 3fccbda..1ae3bcd 100644
--- a/modules/initialize.py
+++ b/modules/initialize.py
@@ -310,6 +310,29 @@ def get_config(branchname):
     else:
         dataobject.project.ssh = None
 
+    #
+    # set the coveragerc configuration file
+
+    if 'coverage' in config:
+        dataobject.addbranch('coverage')
+
+        dataobject.coverage.addbranch('paths')
+
+        dataobject.coverage.paths.root = os.path.join(
+            dataobject.paths.project.root,
+            config['coverage']['paths']['root'])
+
+        dataobject.coverage.paths.html = os.path.join(
+            dataobject.coverage.paths.root,
+            config['coverage']['paths']['html'])
+
+        dataobject.coverage.config = os.path.join(
+            dataobject.coverage.paths.root,
+            config['coverage']['config'])
+
+    else:
+        dataobject.coverage = None
+
     #
     # these are the locations of the scripts/conf file both remote and local
 
diff --git a/share/templates/meta/development.yml b/share/templates/meta/development.yml
index 5242851..5216894 100644
--- a/share/templates/meta/development.yml
+++ b/share/templates/meta/development.yml
@@ -31,6 +31,16 @@ maintenance:
     commands: {reload: supervisorctl reload, start: supervisorctl start, status: supervisorctl
         status, stop: supervisorctl stop, update: supervisorctl update}
     execute: local
+
+#
+# uncomment if you have and plan to use coverage python package
+#
+# coverage:
+#   config: setup.cfg
+#   paths:
+#     root: share/coverage
+#     html: htmlcov 
+
 media:
   paths: {dynamic: dynamic, root: public/media, static: static}
 nginx:
diff --git a/share/templates/meta/staging.yml b/share/templates/meta/staging.yml
index 6cb081f..d598f0e 100644
--- a/share/templates/meta/staging.yml
+++ b/share/templates/meta/staging.yml
@@ -21,6 +21,16 @@ maintenance:
     execute: run
 media:
   paths: {dynamic: dynamic, root: public/media, static: static}
+
+#
+# uncomment if you have and plan to use coverage python package
+#
+# coverage:
+#   config: setup.cfg
+#   paths:
+#     root: share/coverage
+#     html: htmlcov 
+
 nginx:
   paths: {available: sites-available, enabled: sites-enabled, root: /etc/nginx}
   port: NGINX_PORT