diff --git a/tests/core/test_chunked_prefill_scheduler.py b/tests/core/test_chunked_prefill_scheduler.py
index 2c7c47412f23d..eaaf004df38b2 100644
--- a/tests/core/test_chunked_prefill_scheduler.py
+++ b/tests/core/test_chunked_prefill_scheduler.py
@@ -413,19 +413,24 @@ def cannot_append_second_group2(seq_group, num_lookahead_slots):
     assert out.num_batched_tokens == max_num_batched_tokens
 
 
-def test_chunked_prefill_spec_prefill():
-    """Verify preempt works with chunked prefill requests"""
+@pytest.mark.parametrize("num_scheduler_steps", [1, 5])
+def test_chunked_prefill_spec_prefill(num_scheduler_steps):
+    """Verify that the num_lookahead_slots is set appropriately for an all"""
+    """prefill batch depending on whether multi-step scheduling is enabled"""
+    """or not"""
     block_size = 4
     max_seqs = 30
     max_model_len = 200
     max_num_batched_tokens = 30
+    num_lookahead_slots = 4
     scheduler_config = SchedulerConfig(
         "generate",
         max_num_batched_tokens,
         max_seqs,
         max_model_len,
         enable_chunked_prefill=True,
-        num_lookahead_slots=5,
+        num_lookahead_slots=num_lookahead_slots,
+        num_scheduler_steps=num_scheduler_steps,
     )
     cache_config = CacheConfig(block_size, 1.0, 1, "auto")
     cache_config.num_cpu_blocks = 16
@@ -433,7 +438,7 @@ def test_chunked_prefill_spec_prefill():
     scheduler = Scheduler(scheduler_config, cache_config, None)
 
     _, seq_group = create_dummy_prompt("1",
-                                       prompt_length=60,
+                                       prompt_length=30,
                                        block_size=block_size)
     scheduler.add_seq_group(seq_group)
     _, out = schedule_and_update_computed_tokens(scheduler)
@@ -441,9 +446,10 @@ def test_chunked_prefill_spec_prefill():
     # prefill scheduled now.
     assert len(out.scheduled_seq_groups) == 1
     assert out.num_prefill_groups == 1
-    assert seq_group.is_prefill()
     assert out.num_batched_tokens == max_num_batched_tokens
-    assert out.num_lookahead_slots == 0
+    print(out.num_lookahead_slots)
+    assert out.num_lookahead_slots == (0 if (num_scheduler_steps == 1) else
+                                       num_lookahead_slots)
 
 
 def test_chunked_prefill_max_seqs():
diff --git a/tests/spec_decode/e2e/test_integration_dist_tp2.py b/tests/spec_decode/e2e/test_integration_dist_tp2.py
index 7fea161a4a7be..02cba92795142 100644
--- a/tests/spec_decode/e2e/test_integration_dist_tp2.py
+++ b/tests/spec_decode/e2e/test_integration_dist_tp2.py
@@ -160,7 +160,8 @@ def test_spec_decode_chunked_prefill_tp2(model, common_llm_kwargs,
                                          per_test_common_llm_kwargs,
                                          baseline_llm_kwargs, test_llm_kwargs,
                                          batch_size: int, seed: int):
-    """Verify spec decode works well with smaller tp for draft models.
+    """Verify spec decode works well with same and different TP size for
+    the draft model with chunked prefill.
     """
     run_equality_correctness_test_tp(model,
                                      common_llm_kwargs,