diff --git a/tests/functional/adapter/python_model/fixtures.py b/tests/functional/adapter/python_model/fixtures.py
index de7b9b67..473559d7 100644
--- a/tests/functional/adapter/python_model/fixtures.py
+++ b/tests/functional/adapter/python_model/fixtures.py
@@ -101,7 +101,7 @@ def model(dbt, spark):
     config:
       marterialized: table
       tags: ["python"]
-      location_root: '{{ env_var("DBT_DATABRICKS_LOCATION_ROOT") }}'
+      location_root: '{{ env_var("DBT_DATABRICKS_LOCATION_ROOT") }}/{schema}'
     columns:
       - name: date
         tests:
diff --git a/tests/functional/adapter/python_model/test_python_model.py b/tests/functional/adapter/python_model/test_python_model.py
index 87f8a4a9..dbb84923 100644
--- a/tests/functional/adapter/python_model/test_python_model.py
+++ b/tests/functional/adapter/python_model/test_python_model.py
@@ -119,6 +119,13 @@ def project_config_update(self):
         }
 
     def test_expected_handling_of_complex_config(self, project):
+        unformatted_schema_yml = util.read_file("models", "schema.yml")
+        util.write_file(
+            unformatted_schema_yml.format(schema=project.test_schema),
+            "models",
+            "schema.yml",
+        )
+
         util.run_dbt(["seed"])
         util.run_dbt(["build", "-s", "complex_config"])
         util.run_dbt(["build", "-s", "complex_config"])