diff --git a/bash_functions.sh b/bash_functions.sh
index d6b1115..09dd7a7 100644
--- a/bash_functions.sh
+++ b/bash_functions.sh
@@ -270,13 +270,7 @@ load_web_password_secret() {
    fi;
 }
 
-generate_password() {
-    if [ -z "${WEBPASSWORD+x}" ] ; then
-        # Not set at all, give the user a random pass
-        WEBPASSWORD=$(tr -dc _A-Z-a-z-0-9 < /dev/urandom | head -c 8)
-        echo "Assigning random password: $WEBPASSWORD"
-    fi;
-}
+
 
 setup_web_password() {
     if [ -z "${WEBPASSWORD+x}" ] ; then
@@ -285,8 +279,9 @@ setup_web_password() {
         # Exit if setupvars already has a password
         setup_var_exists "WEBPASSWORD" && return
 
-        # Generate new password
-        generate_password
+        # Generate new random password
+        WEBPASSWORD=$(tr -dc _A-Z-a-z-0-9 < /dev/urandom | head -c 8)
+        echo "Assigning random password: $WEBPASSWORD"
     else
         # ENV WEBPASSWORD is set an will be used
         echo "::: Assigning password defined by Environment Variable"
diff --git a/test/test_bash_functions.py b/test/test_bash_functions.py
index 6929c2b..02d0bd8 100644
--- a/test/test_bash_functions.py
+++ b/test/test_bash_functions.py
@@ -180,7 +180,7 @@ def test_debian_setup_php_env(Docker, expected_lines, repeat_function):
 
 def test_webPassword_random_generation(Docker):
     ''' When a user sets webPassword env the admin password gets set to that '''
-    function = Docker.run('. /bash_functions.sh ; eval `grep generate_password /start.sh`')
+    function = Docker.run('. /bash_functions.sh ; eval `grep setup_web_password /start.sh`')
     assert 'assigning random password' in function.stdout.lower()
 
 
@@ -203,11 +203,18 @@ def test_webPassword_env_assigns_password_to_file_or_removes_if_empty(Docker, ar
 
 @pytest.mark.parametrize('entrypoint,cmd', [('--entrypoint=tail','-f /dev/null')])
 @pytest.mark.parametrize('test_args', ['-e WEBPASSWORD=login', '-e WEBPASSWORD=""'])
-def test_webPassword_pre_existing_trumps_all_envs(Docker, args_env, test_args):
-    '''When a user setup webPassword in the volume prior to first container boot,
-        during prior container boot, the prior volume password is left intact / setup skipped'''
-    Docker.run('. /opt/pihole/webpage.sh ; add_setting WEBPASSWORD volumepass')
+def test_env_always_updates_password(Docker, args_env, test_args):
+    '''When a user sets the WEBPASSWORD environment variable, ensure it always sets the password'''    
     function = Docker.run('. /bash_functions.sh ; eval `grep setup_web_password /start.sh`')
 
-    assert '::: Pre existing WEBPASSWORD found' in function.stdout
+    assert '::: Assigning password defined by Environment Variable' in function.stdout    
+
+
+@pytest.mark.parametrize('entrypoint,cmd', [('--entrypoint=tail','-f /dev/null')])
+def test_setupvars_trumps_random_password_if_set(Docker, args_env, test_args):
+    '''If a password is already set in setupVars, and no password is set in the environment variable, do not generate a random password'''
+    Docker.run('. /opt/pihole/utils.sh ; addOrEditKeyValPair /etc/pihole/setupVars.conf WEBPASSWORD volumepass')
+    function = Docker.run('. /bash_functions.sh ; eval `grep setup_web_password /start.sh`')
+
+    assert 'Pre existing WEBPASSWORD found' in function.stdout
     assert Docker.run('grep -q \'{}\' {}'.format('WEBPASSWORD=volumepass', '/etc/pihole/setupVars.conf')).rc == 0