diff --git a/bundle/config/mutator/override_compute.go b/bundle/config/mutator/override_compute.go
index 3ceea4dec..8ce28cbcc 100644
--- a/bundle/config/mutator/override_compute.go
+++ b/bundle/config/mutator/override_compute.go
@@ -3,6 +3,7 @@ package mutator
 import (
 	"context"
 	"fmt"
+	"os"
 
 	"github.com/databricks/cli/bundle"
 	"github.com/databricks/cli/bundle/config"
@@ -32,11 +33,17 @@ func overrideJobCompute(j *resources.Job, compute string) {
 }
 
 func (m *overrideCompute) Apply(ctx context.Context, b *bundle.Bundle) error {
-	if b.Config.Bundle.Compute == "" {
+	if b.Config.Bundle.Mode != config.Development {
+		if b.Config.Bundle.Compute != "" {
+			return fmt.Errorf("cannot override compute for an environment that does not use 'mode: development'")
+		}
 		return nil
 	}
-	if b.Config.Bundle.Mode != config.Development {
-		return fmt.Errorf("cannot override compute for an environment that does not use 'mode: debug'")
+	if os.Getenv("DATABRICKS_CLUSTER_ID") != "" {
+		b.Config.Bundle.Compute = os.Getenv("DATABRICKS_CLUSTER_ID")
+	}
+	if b.Config.Bundle.Compute == "" {
+		return nil
 	}
 
 	r := b.Config.Resources
diff --git a/bundle/config/mutator/override_compute_test.go b/bundle/config/mutator/override_compute_test.go
index 22fb5a66d..a9da6856f 100644
--- a/bundle/config/mutator/override_compute_test.go
+++ b/bundle/config/mutator/override_compute_test.go
@@ -2,6 +2,7 @@ package mutator_test
 
 import (
 	"context"
+	"os"
 	"testing"
 
 	"github.com/databricks/cli/bundle"
@@ -14,7 +15,8 @@ import (
 	"github.com/stretchr/testify/require"
 )
 
-func TestOverrideCompute(t *testing.T) {
+func TestOverrideDevelopment(t *testing.T) {
+	os.Setenv("DATABRICKS_CLUSTER_ID", "")
 	bundle := &bundle.Bundle{
 		Config: config.Root{
 			Bundle: config.Bundle{
@@ -46,3 +48,87 @@ func TestOverrideCompute(t *testing.T) {
 	assert.Equal(t, "newClusterID", bundle.Config.Resources.Jobs["job1"].Tasks[0].ExistingClusterId)
 	assert.Equal(t, "newClusterID", bundle.Config.Resources.Jobs["job1"].Tasks[1].ExistingClusterId)
 }
+
+func TestOverrideDevelopmentEnv(t *testing.T) {
+	os.Setenv("DATABRICKS_CLUSTER_ID", "newClusterId")
+	bundle := &bundle.Bundle{
+		Config: config.Root{
+			Resources: config.Resources{
+				Jobs: map[string]*resources.Job{
+					"job1": {JobSettings: &jobs.JobSettings{
+						Name: "job1",
+						Tasks: []jobs.Task{
+							{
+								NewCluster: &compute.ClusterSpec{},
+							},
+							{
+								ExistingClusterId: "cluster2",
+							},
+						},
+					}},
+				},
+			},
+		},
+	}
+
+	m := mutator.OverrideCompute()
+	err := m.Apply(context.Background(), bundle)
+	require.NoError(t, err)
+	assert.Equal(t, "cluster2", bundle.Config.Resources.Jobs["job1"].Tasks[1].ExistingClusterId)
+}
+
+func TestOverrideProduction(t *testing.T) {
+	bundle := &bundle.Bundle{
+		Config: config.Root{
+			Bundle: config.Bundle{
+				Compute: "newClusterID",
+			},
+			Resources: config.Resources{
+				Jobs: map[string]*resources.Job{
+					"job1": {JobSettings: &jobs.JobSettings{
+						Name: "job1",
+						Tasks: []jobs.Task{
+							{
+								NewCluster: &compute.ClusterSpec{},
+							},
+							{
+								ExistingClusterId: "cluster2",
+							},
+						},
+					}},
+				},
+			},
+		},
+	}
+
+	m := mutator.OverrideCompute()
+	err := m.Apply(context.Background(), bundle)
+	require.Error(t, err)
+}
+
+func TestOverrideProductionEnv(t *testing.T) {
+	os.Setenv("DATABRICKS_CLUSTER_ID", "newClusterId")
+	bundle := &bundle.Bundle{
+		Config: config.Root{
+			Resources: config.Resources{
+				Jobs: map[string]*resources.Job{
+					"job1": {JobSettings: &jobs.JobSettings{
+						Name: "job1",
+						Tasks: []jobs.Task{
+							{
+								NewCluster: &compute.ClusterSpec{},
+							},
+							{
+								ExistingClusterId: "cluster2",
+							},
+						},
+					}},
+				},
+			},
+		},
+	}
+
+	m := mutator.OverrideCompute()
+	err := m.Apply(context.Background(), bundle)
+	require.NoError(t, err)
+}
diff --git a/cmd/bundle/deploy.go b/cmd/bundle/deploy.go
index 0cf961189..05df84c59 100644
--- a/cmd/bundle/deploy.go
+++ b/cmd/bundle/deploy.go
@@ -1,8 +1,6 @@
 package bundle
 
 import (
-	"os"
-
 	"github.com/databricks/cli/bundle"
 	"github.com/databricks/cli/bundle/phases"
 	"github.com/spf13/cobra"
@@ -21,10 +19,6 @@ var deployCmd = &cobra.Command{
 }
 
 func deploy(cmd *cobra.Command, b *bundle.Bundle) error {
-	if computeID == "" {
-		computeID = os.Getenv("DATABRICKS_CLUSTER_ID")
-	}
-
 	// If `--force` is specified, force acquisition of the deployment lock.
 	b.Config.Bundle.Lock.Force = forceDeploy
 	b.Config.Bundle.Compute = computeID