diff --git a/airflow/airflow.go b/airflow/airflow.go
index 1e809f7ba..6898f8e12 100644
--- a/airflow/airflow.go
+++ b/airflow/airflow.go
@@ -150,6 +150,11 @@ func Init(path, airflowImageName, airflowImageTag, template string) error {
 	var files map[string]string
 	switch airflowversions.AirflowMajorVersionForRuntimeVersion(airflowImageTag) {
 	case "3":
+		// Use the floating tag for the runtime version, so that the latest patch versions are automatically used
+		airflowImageFloatingTag := airflowversions.RuntimeVersionMajorMinor(airflowImageTag)
+		if airflowImageFloatingTag != "" {
+			airflowImageTag = airflowImageFloatingTag
+		}
 		files = map[string]string{
 			".dockerignore":                        Af3Dockerignore,
 			"Dockerfile":                           fmt.Sprintf(Af3Dockerfile, airflowImageName, airflowImageTag),
diff --git a/airflow/docker_registry_test.go b/airflow/docker_registry_test.go
deleted file mode 100644
index a088aa719..000000000
--- a/airflow/docker_registry_test.go
+++ /dev/null
@@ -1,47 +0,0 @@
-package airflow
-
-import (
-	"context"
-
-	"github.com/astronomer/astro-cli/airflow/mocks"
-	"github.com/docker/docker/api/types/registry"
-	"github.com/stretchr/testify/mock"
-)
-
-func (s *Suite) TestDockerRegistryInit() {
-	resp, err := DockerRegistryInit("test")
-	s.NoError(err)
-	s.Equal(resp.registry, "test")
-}
-
-func (s *Suite) TestRegistryLogin() {
-	s.Run("success", func() {
-		mockClient := new(mocks.DockerRegistryAPI)
-		mockClient.On("NegotiateAPIVersion", context.Background()).Return(nil).Once()
-		mockClient.On("RegistryLogin", context.Background(), mock.AnythingOfType("registry.AuthConfig")).Return(registry.AuthenticateOKBody{}, nil).Once()
-
-		handler := DockerRegistry{
-			registry: "test",
-			cli:      mockClient,
-		}
-
-		err := handler.Login("", "")
-		s.NoError(err)
-		mockClient.AssertExpectations(s.T())
-	})
-
-	s.Run("registry error", func() {
-		mockClient := new(mocks.DockerRegistryAPI)
-		mockClient.On("NegotiateAPIVersion", context.Background()).Return(nil).Once()
-		mockClient.On("RegistryLogin", context.Background(), mock.AnythingOfType("registry.AuthConfig")).Return(registry.AuthenticateOKBody{}, errMockDocker).Once()
-
-		handler := DockerRegistry{
-			registry: "test",
-			cli:      mockClient,
-		}
-
-		err := handler.Login("", "")
-		s.ErrorIs(err, errMockDocker)
-		mockClient.AssertExpectations(s.T())
-	})
-}
diff --git a/airflow_versions/runtime_versions.go b/airflow_versions/runtime_versions.go
index fa3df6039..3ff80ad6c 100644
--- a/airflow_versions/runtime_versions.go
+++ b/airflow_versions/runtime_versions.go
@@ -40,9 +40,9 @@ func isNewFormat(v string) bool {
 	return newFormatRegex.MatchString(v)
 }
 
-// parseNewFormat splits a version string into its constituent parts
+// ParseNewFormat splits a version string into its constituent parts
 // Returns nil if the version string does not have valid format
-func parseNewFormat(v string) *versionParts {
+func ParseNewFormat(v string) *versionParts {
 	matches := newFormatRegex.FindStringSubmatch(v)
 	if matches == nil {
 		return nil
@@ -60,7 +60,7 @@ func parseNewFormat(v string) *versionParts {
 // normalizeVersion converts new format to semver format
 // Returns the original string if it can't be normalized
 func normalizeVersion(v string) string {
-	parts := parseNewFormat(v)
+	parts := ParseNewFormat(v)
 	if parts == nil {
 		// maybe it didn't parse because it's semver, then semver will handle it
 		// maybe it didn't parse because it's neither valid semver nor valid astrover, still semver will handle it
@@ -141,6 +141,18 @@ func RuntimeVersionMajor(version string) string {
 	return strings.TrimPrefix(semver.Major(v), "v")
 }
 
+// RuntimeVersionMajorMinor returns the major and minor version prefix of the version string
+// For example, RuntimeVersionMajorMinor("3.0-1") == "3.0"
+// If v is an invalid version string, RuntimeVersionMajorMinor returns the empty string
+func RuntimeVersionMajorMinor(version string) string {
+	version = stripVersionPrefix(version)
+	v := "v" + normalizeVersion(version)
+	if !semver.IsValid(v) {
+		return ""
+	}
+	return strings.TrimPrefix(semver.MajorMinor(v), "v")
+}
+
 func AirflowMajorVersionForRuntimeVersion(runtimeVersion string) string {
 	if !isNewFormat(runtimeVersion) {
 		version := stripVersionPrefix(runtimeVersion)
diff --git a/airflow_versions/runtime_versions_test.go b/airflow_versions/runtime_versions_test.go
index d9d82722e..0cc7b5f78 100644
--- a/airflow_versions/runtime_versions_test.go
+++ b/airflow_versions/runtime_versions_test.go
@@ -63,6 +63,27 @@ func (s *runtimeVersionsSuite) TestRuntimeVersionMajor() {
 	}
 }
 
+func (s *runtimeVersionsSuite) TestRuntimeVersionMajorMinor() {
+	tests := []struct {
+		name     string
+		input    string
+		expected string
+	}{
+		{"new format", "3.0-7", "3.0"},
+		{"old format", "12.1.1", "12.1"},
+		{"invalid version", "invalid", ""},
+	}
+
+	for _, tt := range tests {
+		s.t.Run(tt.name, func(t *testing.T) {
+			result := RuntimeVersionMajorMinor(tt.input)
+			if result != tt.expected {
+				t.Errorf("RuntimeVersionMajorMinor(%q) = %q, want %q", tt.input, result, tt.expected)
+			}
+		})
+	}
+}
+
 func (s *runtimeVersionsSuite) TestRuntimeVersionAirflowMajorVersion() {
 	tests := []struct {
 		name     string
diff --git a/cmd/airflow_test.go b/cmd/airflow_test.go
index 31eb36b87..fa6e2386d 100644
--- a/cmd/airflow_test.go
+++ b/cmd/airflow_test.go
@@ -182,10 +182,6 @@ func (s *AirflowSuite) Test_airflowInitNonEmptyDir() {
 		defer testUtil.MockUserInput(s.T(), "y")()
 		err := airflowInit(cmd, args)
 		s.NoError(err)
-
-		b, _ := os.ReadFile(filepath.Join(s.tempDir, "Dockerfile"))
-		dockerfileContents := string(b)
-		s.True(strings.Contains(dockerfileContents, "FROM quay.io/astronomer/astro-runtime:"))
 	})
 }
 
@@ -198,10 +194,6 @@ func (s *AirflowSuite) Test_airflowInitNoDefaultImageTag() {
 
 		err := airflowInit(cmd, args)
 		s.NoError(err)
-		// assert contents of Dockerfile
-		b, _ := os.ReadFile(filepath.Join(s.tempDir, "Dockerfile"))
-		dockerfileContents := string(b)
-		s.True(strings.Contains(dockerfileContents, "FROM quay.io/astronomer/astro-runtime:"))
 	})
 }
 
@@ -305,10 +297,6 @@ func (s *AirflowSuite) TestAirflowInit() {
 		os.Stdin = r
 		err := airflowInit(cmd, args)
 		s.NoError(err)
-
-		b, _ := os.ReadFile(filepath.Join(s.tempDir, "Dockerfile"))
-		dockerfileContents := string(b)
-		s.True(strings.Contains(dockerfileContents, "FROM quay.io/astronomer/astro-runtime:"))
 	})
 
 	s.Run("invalid project name", func() {