Testing Rails App with Testacular and AngularJs

I'm trying to setup testacular with angular e2e to test my rails application. I can't get the most basic test to pass. My Rails app is running.

testacular.config.js

basePath = '.';
files = [
  JASMINE,
  JASMINE_ADAPTER,
  ANGULAR_SCENARIO,
  ANGULAR_SCENARIO_ADAPTER,
  '*_spec.js'
];
exclude        = [];
reporters      = ['progress'];
port           = 8080;
runnerPort     = 9100;
colors         = true;
logLevel       = LOG_INFO;
autoWatch      = true;
browsers       = ['Chrome'];
captureTimeout = 5000;
singleRun      = false;
proxies        = { '/': 'http://localhost:3000/' };

test_spec.js

describe('Home Page', function() {
  beforeEach(function() {
    browser().navigateTo('/');
  });
  it('should have h2', function() {
    expect(element('body').html()).toContain('Explore')
  });
});

Output: I'm selecting the body so you can see that its not my webpage but the testacular iframe. I would think I would see the body of my real page here.

expected "Explore" but was "\n  <h1 id=\"title\" class=\"offline\">Testacular - starting</h1>\n  <ul id=\"browsers\"></ul>\n\n  <iframe id=\"context\" src=\"about:blank\" width=\"100%\" height=\"100%\"></iframe>\n\n  <script src=\"socket.io/socket.io.js\"></script>\n  <script src=\"testacular.js\"></script>\n\n\n"