diff --git a/.github/workflows/cloud-runner-integrity.yml b/.github/workflows/cloud-runner-integrity.yml
index ab66a6a4..75b95fdd 100644
--- a/.github/workflows/cloud-runner-integrity.yml
+++ b/.github/workflows/cloud-runner-integrity.yml
@@ -43,40 +43,76 @@ jobs:
         run: |
           curl -s https://raw.githubusercontent.com/k3d-io/k3d/main/install.sh | bash
           k3d version | cat
-      - name: Start LocalStack (S3)
-        uses: localstack/setup-localstack@v0.2.4
-        with:
-          install-awslocal: true
-      - name: Verify LocalStack is running
+      - name: Clean up host disk space and prepare for k3d and LocalStack
         run: |
-          echo "Checking LocalStack status..."
-          curl -s http://localhost:4566/_localstack/health | head -10 || echo "LocalStack health check failed"
-          # Check if LocalStack container is running
-          docker ps | grep localstack || echo "No LocalStack container found"
-          # Show LocalStack container network info
-          docker ps --format "{{.Names}}" | grep -i localstack | head -1 | xargs -I {} docker inspect {} --format '{{range .NetworkSettings.Networks}}{{.IPAddress}}{{end}}' || echo "Could not get LocalStack IP"
-      - name: Create S3 bucket for tests (host LocalStack)
-        run: |
-          awslocal s3 mb s3://$AWS_STACK_NAME || true
-          awslocal s3 ls
-      - name: Clean up host disk space before creating k3d cluster
-        run: |
-          echo "Cleaning up host disk space before creating k3d cluster..."
+          echo "Cleaning up host disk space before creating k3d cluster and LocalStack..."
           echo "Current disk usage:"
           df -h
           # Clean up any leftover k3d clusters/images from previous runs first
           k3d cluster delete unity-builder || true
           k3d image delete --all || true
-          # Clean up Docker images and containers on host to free space for k3d
+          # Stop any existing LocalStack container
+          docker stop localstack-main 2>/dev/null || true
+          docker rm localstack-main 2>/dev/null || true
+          # Clean up Docker images and containers on host to free space
           # This is critical: k3d nodes share the host's disk, so we need space BEFORE creating the cluster
-          # Note: We use --filter "until=24h" to avoid removing LocalStack which was just started
-          docker system prune -af --volumes --filter "until=24h" || true
-          # Remove unused images (keep images used by running containers like LocalStack)
+          docker system prune -af --volumes || true
+          # Remove unused images
           docker image prune -af || true
-          # Remove unused volumes (but keep volumes used by running containers)
+          # Remove unused volumes
           docker volume prune -f || true
           echo "Disk usage after cleanup:"
           df -h
+      - name: Start LocalStack (S3) as managed Docker container
+        run: |
+          echo "Starting LocalStack as managed Docker container..."
+          # Start LocalStack with specific name and resource limits
+          docker run -d \
+            --name localstack-main \
+            --network bridge \
+            -p 4566:4566 \
+            -e SERVICES=s3,cloudformation,ecs,kinesis,cloudwatch,logs \
+            -e DEBUG=0 \
+            -e DATA_DIR=/tmp/localstack/data \
+            --tmpfs /tmp/localstack/data:rw,noexec,nosuid,size=100m \
+            localstack/localstack:latest || true
+          # Wait for LocalStack to be ready
+          echo "Waiting for LocalStack to be ready..."
+          for i in {1..30}; do
+            if curl -s http://localhost:4566/_localstack/health > /dev/null 2>&1; then
+              echo "LocalStack is ready (attempt $i/30)"
+              break
+            fi
+            echo "Waiting for LocalStack... ($i/30)"
+            sleep 2
+          done
+          # Verify LocalStack is running
+          echo "Checking LocalStack status..."
+          curl -s http://localhost:4566/_localstack/health | head -10 || echo "LocalStack health check failed"
+          docker ps | grep localstack || echo "No LocalStack container found"
+      - name: Install AWS CLI tools
+        run: |
+          # Install AWS CLI if not already available
+          if ! command -v aws > /dev/null 2>&1; then
+            pip install awscli || true
+          fi
+          # Install awscli-local for convenience (optional)
+          pip install awscli-local || true
+          aws --version || echo "AWS CLI not available"
+          awslocal --version || echo "awslocal not available, will use aws CLI with endpoint-url"
+      - name: Create S3 bucket for tests (host LocalStack)
+        run: |
+          # Use awslocal if available, otherwise use aws CLI with endpoint-url
+          if command -v awslocal > /dev/null 2>&1; then
+          awslocal s3 mb s3://$AWS_STACK_NAME || true
+          awslocal s3 ls
+          elif command -v aws > /dev/null 2>&1; then
+            aws --endpoint-url=http://localhost:4566 s3 mb s3://$AWS_STACK_NAME || true
+            aws --endpoint-url=http://localhost:4566 s3 ls || true
+          else
+            echo "Neither awslocal nor aws CLI available"
+            exit 1
+          fi
       - name: Create k3s cluster (k3d)
         timeout-minutes: 5
         run: |