There are a lot of issues with the steem python library. First being toml, the discontinuation of steemd and a few other errors that come up. Check out this and see if following it helps.
https://steemit.com/utopian-io/@amosbastian/how-to-install-steem-python-the-official-steem-library-for-python

I just installed steem python for the first time on my own and this above post can make it a little easier. Not sure why you are needing to run the setup.py manually though. Good luck man.