diff --git a/common/changes/@microsoft/rush/enelson-env-vars_2022-11-19-18-14.json b/common/changes/@microsoft/rush/enelson-env-vars_2022-11-19-18-14.json
new file mode 100644
index 00000000000..0a005e98426
--- /dev/null
+++ b/common/changes/@microsoft/rush/enelson-env-vars_2022-11-19-18-14.json
@@ -0,0 +1,10 @@
+{
+  "changes": [
+    {
+      "packageName": "@microsoft/rush",
+      "comment": "Add a \"dependsOnEnvVars\" configuration option to operations in rush-project.json. The variables specified in this option are included in the cache key hash calculation.",
+      "type": "none"
+    }
+  ],
+  "packageName": "@microsoft/rush"
+}
diff --git a/libraries/rush-lib/src/api/RushProjectConfiguration.ts b/libraries/rush-lib/src/api/RushProjectConfiguration.ts
index 5c5503de0c9..f6a04a37c56 100644
--- a/libraries/rush-lib/src/api/RushProjectConfiguration.ts
+++ b/libraries/rush-lib/src/api/RushProjectConfiguration.ts
@@ -65,6 +65,16 @@ export interface IOperationSettings {
    * the build scripts to be compatible with caching.
    */
   disableBuildCacheForOperation?: boolean;
+
+  /**
+   * An optional list of environment variables that can affect this operation. The values of
+   * these environment variables will become part of the hash when reading and writing the build cache.
+   *
+   * Note: generally speaking, all environment variables available to Rush are also available to any
+   * operations performed -- Rush assumes that environment variables do not affect build outputs unless
+   * you list them here.
+   */
+  dependsOnEnvVars?: string[];
 }
 
 interface IOldRushProjectJson {
@@ -89,7 +99,7 @@ const RUSH_PROJECT_CONFIGURATION_FILE: ConfigurationFile<IRushProjectJson> =
           } else if (!parent) {
             return child;
           } else {
-            // Merge the outputFolderNames arrays
+            // Merge any properties that need to be merged
             const resultOperationSettingsByOperationName: Map<string, IOperationSettings> = new Map();
             for (const parentOperationSettings of parent) {
               resultOperationSettingsByOperationName.set(
@@ -117,7 +127,7 @@ const RUSH_PROJECT_CONFIGURATION_FILE: ConfigurationFile<IRushProjectJson> =
               let mergedOperationSettings: IOperationSettings | undefined =
                 resultOperationSettingsByOperationName.get(operationName);
               if (mergedOperationSettings) {
-                // The parent operation settings object already exists, so append to the outputFolderNames
+                // The parent operation settings object already exists
                 const outputFolderNames: string[] | undefined =
                   mergedOperationSettings.outputFolderNames && childOperationSettings.outputFolderNames
                     ? [
@@ -126,10 +136,19 @@ const RUSH_PROJECT_CONFIGURATION_FILE: ConfigurationFile<IRushProjectJson> =
                       ]
                     : mergedOperationSettings.outputFolderNames || childOperationSettings.outputFolderNames;
 
+                const dependsOnEnvVars: string[] | undefined =
+                  mergedOperationSettings.dependsOnEnvVars && childOperationSettings.dependsOnEnvVars
+                    ? [
+                        ...mergedOperationSettings.dependsOnEnvVars,
+                        ...childOperationSettings.dependsOnEnvVars
+                      ]
+                    : mergedOperationSettings.dependsOnEnvVars || childOperationSettings.dependsOnEnvVars;
+
                 mergedOperationSettings = {
                   ...mergedOperationSettings,
                   ...childOperationSettings,
-                  outputFolderNames
+                  ...(outputFolderNames ? { outputFolderNames } : {}),
+                  ...(dependsOnEnvVars ? { dependsOnEnvVars } : {})
                 };
                 resultOperationSettingsByOperationName.set(operationName, mergedOperationSettings);
               } else {
diff --git a/libraries/rush-lib/src/logic/buildCache/ProjectBuildCache.ts b/libraries/rush-lib/src/logic/buildCache/ProjectBuildCache.ts
index 0c6baf791ba..3e4e1e2f855 100644
--- a/libraries/rush-lib/src/logic/buildCache/ProjectBuildCache.ts
+++ b/libraries/rush-lib/src/logic/buildCache/ProjectBuildCache.ts
@@ -20,6 +20,7 @@ export interface IProjectBuildCacheOptions {
   projectConfiguration: RushProjectConfiguration;
   projectOutputFolderNames: ReadonlyArray<string>;
   additionalProjectOutputFilePaths?: ReadonlyArray<string>;
+  additionalContext?: Record<string, string>;
   command: string;
   trackedProjectFiles: string[] | undefined;
   projectChangeAnalyzer: ProjectChangeAnalyzer;
@@ -447,6 +448,18 @@ export class ProjectBuildCache {
     hash.update(RushConstants.hashDelimiter);
     hash.update(options.command);
     hash.update(RushConstants.hashDelimiter);
+    if (options.additionalContext) {
+      for (const key of Object.keys(options.additionalContext).sort()) {
+        // Add additional context keys and values.
+        //
+        // This choice (to modiy the hash for every key regardless of whether a value is set) implies
+        // that just _adding_ an env var to the list of dependsOnEnvVars will modify its hash. This
+        // seems appropriate, because this behavior is consistent whether or not the env var happens
+        // to have a value.
+        hash.update(`${key}=${options.additionalContext[key]}`);
+        hash.update(RushConstants.hashDelimiter);
+      }
+    }
     for (const projectHash of sortedProjectStates) {
       hash.update(projectHash);
       hash.update(RushConstants.hashDelimiter);
diff --git a/libraries/rush-lib/src/logic/operations/ShellOperationRunner.ts b/libraries/rush-lib/src/logic/operations/ShellOperationRunner.ts
index 5f5b46a6464..147b5609d5d 100644
--- a/libraries/rush-lib/src/logic/operations/ShellOperationRunner.ts
+++ b/libraries/rush-lib/src/logic/operations/ShellOperationRunner.ts
@@ -444,10 +444,17 @@ export class ShellOperationRunner implements IOperationRunner {
               const additionalProjectOutputFilePaths: ReadonlyArray<string> = [
                 OperationStateFile.getFilenameRelativeToProjectRoot(this._phase)
               ];
+              const additionalContext: Record<string, string> = {};
+              if (operationSettings.dependsOnEnvVars) {
+                for (const varName of operationSettings.dependsOnEnvVars) {
+                  additionalContext['$' + varName] = process.env[varName] || '';
+                }
+              }
               this._projectBuildCache = await ProjectBuildCache.tryGetProjectBuildCache({
                 projectConfiguration,
                 projectOutputFolderNames,
                 additionalProjectOutputFilePaths,
+                additionalContext,
                 buildCacheConfiguration: this._buildCacheConfiguration,
                 terminal,
                 command: this._commandToRun,
diff --git a/libraries/rush-lib/src/schemas/rush-project.schema.json b/libraries/rush-lib/src/schemas/rush-project.schema.json
index fb9fc596af4..6b163cfd04f 100644
--- a/libraries/rush-lib/src/schemas/rush-project.schema.json
+++ b/libraries/rush-lib/src/schemas/rush-project.schema.json
@@ -51,6 +51,15 @@
             "uniqueItems": true
           },
 
+          "dependsOnEnvVars": {
+            "type": "array",
+            "description": "Specify a list of environment variables that affect the output of this operation. If provided, the values of these variables will become part of the hash when reading and writing from cache.",
+            "items": {
+              "type": "string"
+            },
+            "uniqueItems": true
+          },
+
           "disableBuildCacheForOperation": {
             "description": "Disable caching for this operation. The operation will never be restored from cache. This may be useful if this operation affects state outside of its folder.",
             "type": "boolean"