diff --git a/build/kube-dns/Changelog b/build/kube-dns/Changelog
index 834a1e263ae..73b89805c1d 100644
--- a/build/kube-dns/Changelog
+++ b/build/kube-dns/Changelog
@@ -6,3 +6,6 @@
 
  ## Version 1.4 (Tue June 21 2016 Nikhil Jindal <nikhiljindal@google.com>)
  - Initialising nodesStore (issue #27820)
+
+ ## Version 1.5 (Thu June 23 2016 Nikhil Jindal <nikhiljindal@google.com>)
+ - Adding support to return local service (pr #27708)
diff --git a/build/kube-dns/Makefile b/build/kube-dns/Makefile
index 5d0dfa77488..0ea431cb2d4 100644
--- a/build/kube-dns/Makefile
+++ b/build/kube-dns/Makefile
@@ -17,12 +17,12 @@
 # If you update this image please bump the tag value before pushing.
 #
 # Usage:
-#   [ARCH=amd64] [TAG=1.4] [REGISTRY=gcr.io/google_containers] [BASEIMAGE=busybox] make (container|push)
+#   [ARCH=amd64] [TAG=1.5] [REGISTRY=gcr.io/google_containers] [BASEIMAGE=busybox] make (container|push)
 
 # Default registry, arch and tag. This can be overwritten by arguments to make
 PLATFORM?=linux
 ARCH?=amd64
-TAG?=1.4
+TAG?=1.5
 REGISTRY?=gcr.io/google_containers
 
 GOLANG_VERSION=1.6
diff --git a/cluster/gce/coreos/kube-manifests/addons/dns/skydns-rc.yaml b/cluster/gce/coreos/kube-manifests/addons/dns/skydns-rc.yaml
index 1a1ee3b1c0f..3c5f498ad32 100644
--- a/cluster/gce/coreos/kube-manifests/addons/dns/skydns-rc.yaml
+++ b/cluster/gce/coreos/kube-manifests/addons/dns/skydns-rc.yaml
@@ -1,27 +1,27 @@
 apiVersion: v1
 kind: ReplicationController
 metadata:
-  name: kube-dns-v14
+  name: kube-dns-v15
   namespace: kube-system
   labels:
     k8s-app: kube-dns
-    version: v14
+    version: v15
     kubernetes.io/cluster-service: "true"
 spec:
   replicas: ${DNS_REPLICAS}
   selector:
     k8s-app: kube-dns
-    version: v14
+    version: v15
   template:
     metadata:
       labels:
         k8s-app: kube-dns
-        version: v14
+        version: v15
         kubernetes.io/cluster-service: "true"
     spec:
       containers:
       - name: kubedns
-        image: gcr.io/google_containers/kubedns-amd64:1.3
+        image: gcr.io/google_containers/kubedns-amd64:1.5
         resources:
           # TODO: Set memory limits when we've profiled the container for large
           # clusters, then set request = limit to keep this container in
diff --git a/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.base b/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.base
index ce5f426de83..59b9debc189 100644
--- a/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.base
+++ b/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.base
@@ -21,27 +21,27 @@
 apiVersion: v1
 kind: ReplicationController
 metadata:
-  name: kube-dns-v16
+  name: kube-dns-v17
   namespace: kube-system
   labels:
     k8s-app: kube-dns
-    version: v16
+    version: v17
     kubernetes.io/cluster-service: "true"
 spec:
   replicas: __PILLAR__DNS__REPLICAS__
   selector:
     k8s-app: kube-dns
-    version: v16
+    version: v17
   template:
     metadata:
       labels:
         k8s-app: kube-dns
-        version: v16
+        version: v17
         kubernetes.io/cluster-service: "true"
     spec:
       containers:
       - name: kubedns
-        image: gcr.io/google_containers/kubedns-amd64:1.4
+        image: gcr.io/google_containers/kubedns-amd64:1.5
         resources:
           # TODO: Set memory limits when we've profiled the container for large
           # clusters, then set request = limit to keep this container in
diff --git a/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.in b/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.in
index 3cc597dc4a8..5411979b94d 100644
--- a/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.in
+++ b/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.in
@@ -21,27 +21,27 @@
 apiVersion: v1
 kind: ReplicationController
 metadata:
-  name: kube-dns-v16
+  name: kube-dns-v17
   namespace: kube-system
   labels:
     k8s-app: kube-dns
-    version: v16
+    version: v17
     kubernetes.io/cluster-service: "true"
 spec:
   replicas: {{ pillar['dns_replicas'] }}
   selector:
     k8s-app: kube-dns
-    version: v16
+    version: v17
   template:
     metadata:
       labels:
         k8s-app: kube-dns
-        version: v16
+        version: v17
         kubernetes.io/cluster-service: "true"
     spec:
       containers:
       - name: kubedns
-        image: gcr.io/google_containers/kubedns-amd64:1.4
+        image: gcr.io/google_containers/kubedns-amd64:1.5
         resources:
           # TODO: Set memory limits when we've profiled the container for large
           # clusters, then set request = limit to keep this container in
diff --git a/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.sed b/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.sed
index 17df3ebe2a5..385d448d8e0 100644
--- a/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.sed
+++ b/cluster/saltbase/salt/kube-dns/skydns-rc.yaml.sed
@@ -21,27 +21,27 @@
 apiVersion: v1
 kind: ReplicationController
 metadata:
-  name: kube-dns-v16
+  name: kube-dns-v17
   namespace: kube-system
   labels:
     k8s-app: kube-dns
-    version: v16
+    version: v17
     kubernetes.io/cluster-service: "true"
 spec:
   replicas: $DNS_REPLICAS
   selector:
     k8s-app: kube-dns
-    version: v16
+    version: v17
   template:
     metadata:
       labels:
         k8s-app: kube-dns
-        version: v16
+        version: v17
         kubernetes.io/cluster-service: "true"
     spec:
       containers:
       - name: kubedns
-        image: gcr.io/google_containers/kubedns-amd64:1.4
+        image: gcr.io/google_containers/kubedns-amd64:1.5
         resources:
           # TODO: Set memory limits when we've profiled the container for large
           # clusters, then set request = limit to keep this container in