diff --git a/pkgs/racket-test-core/tests/racket/macro.rktl b/pkgs/racket-test-core/tests/racket/macro.rktl
index dc0bc57b63..fa156577cb 100644
--- a/pkgs/racket-test-core/tests/racket/macro.rktl
+++ b/pkgs/racket-test-core/tests/racket/macro.rktl
@@ -1445,6 +1445,114 @@
              (eval-syntax #'a)
              (eval-syntax (expand-syntax #'b)))])))
 
+;; ----------------------------------------
+;; Check that use-site scopes are not pruned too eagerly
+;;  (based on examples from Brian Mastenbrook)
+
+(module should-be-inner-1 racket/base
+  (define x 'outer)
+  
+  (define-syntax-rule (def-m m given-x)
+    (define-syntax-rule (m d)
+      (begin
+        (define given-x 'inner)
+        (define d x))))
+  
+  (def-m m x)
+  (m d)
+  (provide d))
+
+(test 'inner dynamic-require ''should-be-inner-1 'd)
+
+(module should-be-inner-2 racket/base
+  (define x 'outer)
+  
+  (define d
+    (let ()
+      (define-syntax-rule (def-m m given-x)
+        (define-syntax-rule (m)
+          (begin
+            (define given-x 'inner)
+            x)))
+      
+      (def-m m x)
+      (m)))
+  
+  (provide d))
+
+(test 'inner dynamic-require ''should-be-inner-2 'd)
+
+(module should-be-outer-1 racket/base
+  (define x 'outer)
+  
+  (define-syntax-rule (def-m m given-x)
+    (define-syntax-rule (m d)
+      (define d
+        (let ()
+          (define given-x 'inner)
+          x))))
+  
+  (def-m m x)
+  (m d)
+  (provide d))
+
+(test 'outer dynamic-require ''should-be-outer-1 'd)
+
+(module should-be-outer-2 racket/base
+  (define x 'outer)
+  
+  (define-syntax-rule (def-m m given-x)
+    (define-syntax-rule (m)
+      (begin
+        (define given-x 'inner)
+        x)))
+  
+  (define d
+    (let ()
+      (def-m m x)
+      (m)))
+  
+  (provide d))
+
+(test 'outer dynamic-require ''should-be-outer-2 'd)
+
+(module should-be-outer-3 racket/base
+  (define x 'outer)
+  
+  (define-syntax-rule (def-m m given-x)
+    (define-syntax-rule (m)
+      (begin
+        (define given-x 'inner)
+        x)))
+  
+  (def-m m x)
+  (define d
+    (let ()
+      (m)))
+  
+  (provide d))
+
+(test 'outer dynamic-require ''should-be-outer-3 'd)
+
+(module should-be-outer-4 racket/base
+  (define x 'outer)
+  
+  (define d
+    (let ()
+      (define-syntax-rule (def-m m given-x)
+        (define-syntax-rule (m)
+          (begin
+            (define given-x 'inner)
+            x)))
+      
+      (def-m m x)
+      (let ()
+        (m))))
+  
+  (provide d))
+
+(test 'outer dynamic-require ''should-be-outer-4 'd)
+
 ;; ----------------------------------------
 
 (report-errs)
diff --git a/pkgs/racket-test-core/tests/racket/stx.rktl b/pkgs/racket-test-core/tests/racket/stx.rktl
index 93bef70763..f434d05209 100644
--- a/pkgs/racket-test-core/tests/racket/stx.rktl
+++ b/pkgs/racket-test-core/tests/racket/stx.rktl
@@ -1408,6 +1408,7 @@
            (eval '(require 'mm))
            (eval '(current-namespace (module->namespace ''mm)))
 
+           (test '(1 2) eval '(list a b))
            (eval '(define$ c 7))
            (test '(1 2 7) eval '(list a b c))
            (eval '(define$ d 8))
diff --git a/racket/src/racket/src/compile.c b/racket/src/racket/src/compile.c
index 47a046d2e6..0787464bbd 100644
--- a/racket/src/racket/src/compile.c
+++ b/racket/src/racket/src/compile.c
@@ -3407,17 +3407,9 @@ quote_syntax_syntax(Scheme_Object *orig_form, Scheme_Comp_Env *env, Scheme_Compi
 
     /* Remove scopes for all enclosing local binding contexts. */
     for (frame = env; frame; frame = frame->next) {
-      if (frame->flags & (SCHEME_TOPLEVEL_FRAME | SCHEME_MODULE_FRAME | SCHEME_MODULE_BEGIN_FRAME))
-        stx = scheme_stx_adjust_module_use_site_context(stx,
-                                                        env->genv->stx_context,
-                                                        SCHEME_STX_REMOVE);
-      else if (frame->scopes) {
-        if (frame->flags & SCHEME_KEEP_SCOPES_FRAME)
-          stx = scheme_stx_adjust_frame_use_site_scopes(stx, frame->scopes,
-                                                        scheme_env_phase(frame->genv), SCHEME_STX_REMOVE);
-        else
-          stx = scheme_stx_adjust_frame_scopes(stx, frame->scopes,
-                                               scheme_env_phase(frame->genv), SCHEME_STX_REMOVE);
+      if ((frame->scopes) && !(frame->flags & SCHEME_KEEP_SCOPES_FRAME)) {
+        stx = scheme_stx_adjust_frame_scopes(stx, frame->scopes,
+                                             scheme_env_phase(frame->genv), SCHEME_STX_REMOVE);
       }
     }
 
@@ -3482,8 +3474,6 @@ do_define_syntaxes_syntax(Scheme_Object *form, Scheme_Comp_Env *env,
       
   scheme_define_parse(form, &names, &code, 1, env, 0);
 
-  code = scheme_revert_use_site_scopes(code, env);
-
   scheme_prepare_exp_env(env->genv);
   scheme_prepare_compile_env(env->genv->exp_env);
 
@@ -3532,8 +3522,6 @@ define_syntaxes_expand(Scheme_Object *orig_form, Scheme_Comp_Env *env, Scheme_Ex
 
   scheme_define_parse(form, &names, &code, 1, env, 0);
 
-  code = scheme_revert_use_site_scopes(code, env);
-
   SCHEME_EXPAND_OBSERVE_PREPARE_ENV(env->observer);
 
   scheme_prepare_exp_env(env->genv);
@@ -6099,8 +6087,6 @@ compile_expand_block(Scheme_Object *forms, Scheme_Comp_Env *env,
 				"extra data after expression");
 	  }
 	  expr = SCHEME_STX_CAR(expr);
-          if (!is_val)
-            expr = scheme_revert_use_site_scopes(expr, env);
 	  
 	  scheme_add_local_syntax(cnt, new_env);
 
diff --git a/racket/src/racket/src/module.c b/racket/src/racket/src/module.c
index 41c8e0177d..40ab74d22c 100644
--- a/racket/src/racket/src/module.c
+++ b/racket/src/racket/src/module.c
@@ -9009,8 +9009,6 @@ static Scheme_Object *do_module_begin_at_phase(Scheme_Object *form, Scheme_Comp_
 	  int for_stx;
           int max_let_depth;
 
-          e = revert_use_site_scopes_via_context(e, rn_set, phase);
-
 	  for_stx = scheme_stx_free_eq_x(scheme_begin_for_syntax_stx, fst, phase);
 
           SCHEME_EXPAND_OBSERVE_ENTER_PRIM(observer, e);
@@ -9039,7 +9037,7 @@ static Scheme_Object *do_module_begin_at_phase(Scheme_Object *form, Scheme_Comp_
 
 	  eenv = scheme_new_comp_env(env->genv->exp_env, env->insp,
                                      frame_scopes,
-                                     0);
+                                     SCHEME_KEEP_SCOPES_FRAME);
           if (!for_stx)
             scheme_frame_captures_lifts(eenv, NULL, NULL, scheme_false, scheme_false, 
                                         req_data, scheme_false, scheme_false);
@@ -9207,7 +9205,7 @@ static Scheme_Object *do_module_begin_at_phase(Scheme_Object *form, Scheme_Comp_
               m = SCHEME_STX_CDR(e);
               m = SCHEME_STX_CAR(m);
               m = scheme_make_pair(fst,
-                                   scheme_make_pair(m, scheme_make_pair(code, scheme_null)));
+                                   scheme_make_pair(orig_names, scheme_make_pair(code, scheme_null)));
             }
 	    e = scheme_datum_to_syntax(m, e, e, 0, 2);
 	  } else
diff --git a/racket/src/racket/src/syntax.c b/racket/src/racket/src/syntax.c
index 400fb17b57..495c9c8a49 100644
--- a/racket/src/racket/src/syntax.c
+++ b/racket/src/racket/src/syntax.c
@@ -4118,7 +4118,7 @@ Scheme_Object *scheme_make_module_context(Scheme_Object *insp,
                                           Scheme_Object *shift_or_shifts,
                                           Scheme_Object *debug_name)
 {
-  Scheme_Object *vec;
+  Scheme_Object *vec, *bx;
   Scheme_Object *body_scopes;
   Scheme_Object *intro_multi_scope;
 
@@ -4161,7 +4161,8 @@ Scheme_Object *scheme_make_module_context(Scheme_Object *insp,
   SCHEME_VEC_ELS(vec)[2] = insp;
   SCHEME_VEC_ELS(vec)[3] = shift_or_shifts;
   SCHEME_VEC_ELS(vec)[4] = intro_multi_scope;
-  SCHEME_VEC_ELS(vec)[5] = (Scheme_Object *)empty_scope_set;
+  bx = scheme_box((Scheme_Object *)empty_scope_set);
+  SCHEME_VEC_ELS(vec)[5] = bx;
 
   return vec;
 }
@@ -4202,20 +4203,20 @@ Scheme_Object *scheme_module_context_frame_scopes(Scheme_Object *mc, Scheme_Obje
 
 void scheme_module_context_add_use_site_scope(Scheme_Object *mc, Scheme_Object *use_site_scope)
 {
-  Scheme_Scope_Set *use_site_scopes = (Scheme_Scope_Set *)SCHEME_VEC_ELS(mc)[5];
+  Scheme_Scope_Set *use_site_scopes = (Scheme_Scope_Set *)SCHEME_BOX_VAL(SCHEME_VEC_ELS(mc)[5]);
 
   STX_ASSERT(SCHEME_SCOPEP(use_site_scope));
 
   use_site_scopes = scope_set_set(use_site_scopes, use_site_scope, scheme_true);
   
-  SCHEME_VEC_ELS(mc)[5] = (Scheme_Object *)use_site_scopes;
+  SCHEME_BOX_VAL(SCHEME_VEC_ELS(mc)[5]) = (Scheme_Object *)use_site_scopes;
 }
 
 Scheme_Object *scheme_module_context_use_site_frame_scopes(Scheme_Object *mc)
 {
   Scheme_Scope_Set *use_site_scopes;
   
-  use_site_scopes = (Scheme_Scope_Set *)SCHEME_VEC_ELS(mc)[5];
+  use_site_scopes = (Scheme_Scope_Set *)SCHEME_BOX_VAL(SCHEME_VEC_ELS(mc)[5]);
   if (SAME_OBJ(use_site_scopes, empty_scope_set))
     return NULL;
   else
@@ -4247,10 +4248,7 @@ Scheme_Object *scheme_module_context_at_phase(Scheme_Object *mc, Scheme_Object *
   SCHEME_VEC_ELS(vec)[2] = SCHEME_VEC_ELS(mc)[2];
   SCHEME_VEC_ELS(vec)[3] = SCHEME_VEC_ELS(mc)[3];
   SCHEME_VEC_ELS(vec)[4] = SCHEME_VEC_ELS(mc)[4];
-  /* Any use-site scope from the from another phase don't apply here. This
-     set only matters for module contexts that are attached to environments,
-     anyway: */
-  SCHEME_VEC_ELS(vec)[5] = (Scheme_Object *)empty_scope_set;
+  SCHEME_VEC_ELS(vec)[5] = SCHEME_VEC_ELS(mc)[5];
 
   return vec;
 }
@@ -4332,7 +4330,7 @@ Scheme_Object *scheme_stx_unintroduce_from_module_context(Scheme_Object *stx, Sc
 
 Scheme_Object *scheme_stx_adjust_module_use_site_context(Scheme_Object *stx, Scheme_Object *mc, int mode)
 {
-  Scheme_Scope_Set *scopes = (Scheme_Scope_Set *)SCHEME_VEC_ELS(mc)[5];
+  Scheme_Scope_Set *scopes = (Scheme_Scope_Set *)SCHEME_BOX_VAL(SCHEME_VEC_ELS(mc)[5]);
 
   return scheme_stx_adjust_scopes(stx, scopes, SCHEME_VEC_ELS(mc)[1], mode);
 }
@@ -4706,7 +4704,8 @@ Scheme_Object *scheme_stx_to_module_context(Scheme_Object *_stx)
   SCHEME_VEC_ELS(vec)[2] = scheme_false; /* not sure this is right */
   SCHEME_VEC_ELS(vec)[3] = shifts;
   SCHEME_VEC_ELS(vec)[4] = intro_multi_scope;
-  SCHEME_VEC_ELS(vec)[5] = (Scheme_Object *)empty_scope_set;
+  a = scheme_box((Scheme_Object *)empty_scope_set);
+  SCHEME_VEC_ELS(vec)[5] = a;
 
   return vec;
 }