diff --git a/pool/src/pool/config.rs b/pool/src/pool/config.rs
index 9eefd53e..4185fe54 100644
--- a/pool/src/pool/config.rs
+++ b/pool/src/pool/config.rs
@@ -101,12 +101,23 @@ fn initialize_reserve(e: &Env, asset: &Address, config: &ReserveConfig) -> u32 {
     if storage::has_res(e, asset) {
         // accrue and store reserve data to the ledger
         let pool = Pool::load(e);
-        let reserve = pool.load_reserve(e, asset);
+        let mut reserve = pool.load_reserve(e, asset);
         reserve.store(e);
         index = reserve.index;
-        if reserve.scalar != 10i128.pow(config.decimals) {
+        let reserve_config = storage::get_res_config(e, asset);
+        // decimals cannot change
+        if reserve_config.decimals != config.decimals {
             panic_with_error!(e, PoolError::InvalidReserveMetadata);
         }
+        // if any of the IR parameters were changed reset the IR modifier
+        if reserve_config.r_one != config.r_one
+            || reserve_config.r_two != config.r_two
+            || reserve_config.r_three != config.r_three
+            || reserve_config.util != config.util
+        {
+            reserve.ir_mod = 1_000_000_000;
+        }
+        reserve.store(e);
     } else {
         index = storage::push_res_list(e, asset);
         let init_data = ReserveData {
@@ -646,6 +657,63 @@ mod tests {
         });
     }
 
+    #[test]
+    fn test_execute_update_reserve_resets_ir_mod() {
+        let e = Env::default();
+        e.mock_all_auths();
+        e.ledger().set(LedgerInfo {
+            timestamp: 500,
+            protocol_version: 20,
+            sequence_number: 100,
+            network_id: Default::default(),
+            base_reserve: 10,
+            min_temp_entry_ttl: 10,
+            min_persistent_entry_ttl: 10,
+            max_entry_ttl: 2000000,
+        });
+
+        let pool = testutils::create_pool(&e);
+        let bombadil = Address::generate(&e);
+
+        let (underlying, _) = testutils::create_token_contract(&e, &bombadil);
+        let (reserve_config, reserve_data) = testutils::default_reserve_meta();
+        testutils::create_reserve(&e, &pool, &underlying, &reserve_config, &reserve_data);
+
+        let new_metadata = ReserveConfig {
+            index: 99,
+            decimals: 7,
+            c_factor: 0_7500000,
+            l_factor: 0_7500000,
+            util: 1_0777777,
+            max_util: 0_9500000,
+            r_one: 0_0500000,
+            r_two: 0_7500000,
+            r_three: 1_5000000,
+            reactivity: 105,
+        };
+
+        let pool_config = PoolConfig {
+            oracle: Address::generate(&e),
+            bstop_rate: 0_100_000_000,
+            status: 0,
+        };
+        e.as_contract(&pool, || {
+            storage::set_pool_config(&e, &pool_config);
+
+            storage::set_queued_reserve_set(
+                &e,
+                &QueuedReserveInit {
+                    new_config: new_metadata.clone(),
+                    unlock_time: e.ledger().timestamp(),
+                },
+                &underlying,
+            );
+            execute_set_queued_reserve(&e, &underlying);
+            let res_data = storage::get_res_data(&e, &underlying);
+            assert_eq!(res_data.ir_mod, 1_000_000_000);
+        });
+    }
+
     #[test]
     fn test_validate_reserve_metadata() {
         let e = Env::default();
diff --git a/test-suites/tests/test_liquidation.rs b/test-suites/tests/test_liquidation.rs
index 1f2bce1b..6a7ce85b 100644
--- a/test-suites/tests/test_liquidation.rs
+++ b/test-suites/tests/test_liquidation.rs
@@ -799,16 +799,6 @@ fn test_liquidations() {
         .pool
         .submit(&samwise, &samwise, &samwise, &sam_requests);
 
-    println!(
-        "samwise_positions_post borrow {:?}",
-        sam_positions.liabilities
-    );
-    println!("current ledger {}", fixture.env.ledger().sequence());
-    println!(
-        "current ledger timestamp {}",
-        fixture.env.ledger().timestamp()
-    );
-
     // Nuke eth price more
     fixture.oracle.set_price_stable(&vec![
         &fixture.env,
@@ -869,19 +859,16 @@ fn test_liquidations() {
         .pool
         .submit(&frodo, &frodo, &frodo, &bad_debt_fill_request);
     // transfer bad debt to backstop
-    let samwise_positions_pre_bd =
-        pool_fixture
-            .pool
-            .submit(&samwise, &samwise, &samwise, &blank_request);
-    println!(
-        "samwise_positions_pre_bd {:?}",
-        samwise_positions_pre_bd.liabilities
-    );
+
+    pool_fixture
+        .pool
+        .submit(&samwise, &samwise, &samwise, &blank_request);
+
     pool_fixture.pool.bad_debt(&samwise);
 
     let events = fixture.env.events().all();
     let event = vec![&fixture.env, events.get_unchecked(events.len() - 1)];
-    let bad_debt: i128 = 92587244; //92587244 //92903018
+    let bad_debt: i128 = 92903018;
     assert_eq!(
         event,
         vec![
@@ -927,7 +914,7 @@ fn test_liquidations() {
         assert_eq!(positions.liabilities.get(0).unwrap(), bad_debt);
     });
     // check d_supply
-    let d_supply = 19104301981; //19104604033
+    let d_supply = 19104604034;
     fixture.env.as_contract(&pool_fixture.pool.address, || {
         let key = PoolDataKey::ResData(fixture.tokens[TokenIndex::STABLE].address.clone());
         let data = fixture
diff --git a/test-suites/tests/test_pool.rs b/test-suites/tests/test_pool.rs
index 2426c96a..61d0cc95 100644
--- a/test-suites/tests/test_pool.rs
+++ b/test-suites/tests/test_pool.rs
@@ -601,7 +601,7 @@ fn test_pool_config() {
             AuthorizedInvocation {
                 function: AuthorizedFunction::Contract((
                     pool_fixture.pool.address.clone(),
-                    Symbol::new(&fixture.env, "queue_init_reserve"),
+                    Symbol::new(&fixture.env, "queue_set_reserve"),
                     vec![
                         &fixture.env,
                         blnd.address.to_val(),
@@ -684,12 +684,8 @@ fn test_pool_config() {
             &fixture.env,
             (
                 pool_fixture.pool.address.clone(),
-                (
-                    Symbol::new(&fixture.env, "update_reserve"),
-                    fixture.bombadil.clone()
-                )
-                    .into_val(&fixture.env),
-                blnd.address.to_val()
+                (Symbol::new(&fixture.env, "set_reserve"),).into_val(&fixture.env),
+                event_data.into_val(&fixture.env)
             )
         ]
     );