diff --git a/docs/CHANGELOG-v1.md b/docs/CHANGELOG-v1.md
index 2bfce58112b..48d95ab4c8d 100644
--- a/docs/CHANGELOG-v1.md
+++ b/docs/CHANGELOG-v1.md
@@ -29,7 +29,7 @@ See [upgrade notes][1] for helpful information when upgrading from previous vers
 
 ## Unreleased
 
-What's changed since v1.39.1:
+What's changed since v1.39.2:
 
 - Engineering:
   - Migrated Azure samples into PSRule for Azure by @BernieWhite.
@@ -37,6 +37,16 @@ What's changed since v1.39.1:
   - Quality updates to rule documentation by @BernieWhite.
     [#3102](https://github.com/Azure/PSRule.Rules.Azure/issues/3102)
 
+## v1.39.2
+
+What's changed since v1.39.1:
+
+- Bug fixes:
+  - Fixed user-defined function reference to exported variable by @BernieWhite.
+    [#3120](https://github.com/Azure/PSRule.Rules.Azure/issues/3120)
+  - Fixed name expand of existing resource references by @BernieWhite.
+    [#3123](https://github.com/Azure/PSRule.Rules.Azure/issues/3123)
+
 ## v1.39.1
 
 What's changed since v1.39.0:
diff --git a/src/PSRule.Rules.Azure/Data/Template/ExistingResourceValue.cs b/src/PSRule.Rules.Azure/Data/Template/ExistingResourceValue.cs
index a5a543fbc1e..dc82fc88a7f 100644
--- a/src/PSRule.Rules.Azure/Data/Template/ExistingResourceValue.cs
+++ b/src/PSRule.Rules.Azure/Data/Template/ExistingResourceValue.cs
@@ -70,8 +70,7 @@ public string Name
     /// <returns></returns>
     private string GetId()
     {
-        if (!Value.TryResourceScope(_Context, out var scopeId))
-            throw new TemplateSymbolException(SymbolicName);
+        if (!Value.TryResourceScope(_Context, out var scopeId)) throw new TemplateSymbolException(SymbolicName);
 
         return _Id = ResourceHelper.ResourceId(Type, Name, scopeId);
     }
@@ -81,10 +80,9 @@ private string GetId()
     /// </summary>
     private string GetName()
     {
-        if (!Value.TryResourceName(out var name) || string.IsNullOrEmpty(name))
-            throw new TemplateSymbolException(SymbolicName);
+        if (!Value.TryResourceName(out var name) || string.IsNullOrEmpty(name)) throw new TemplateSymbolException(SymbolicName);
 
-        return _Name = name.IsExpressionString() ? name.ToString() : name;
+        return _Name = ExpandString(_Context, name);
     }
 }
 
diff --git a/src/PSRule.Rules.Azure/Data/Template/TemplateVisitor.cs b/src/PSRule.Rules.Azure/Data/Template/TemplateVisitor.cs
index 1a23332d928..4437093ccfb 100644
--- a/src/PSRule.Rules.Azure/Data/Template/TemplateVisitor.cs
+++ b/src/PSRule.Rules.Azure/Data/Template/TemplateVisitor.cs
@@ -769,37 +769,6 @@ internal void TrackDependencies(IResourceValue resource, string[] dependencies)
             }
         }
 
-        internal sealed class UserDefinedFunctionContext : NestedTemplateContext
-        {
-            private readonly Dictionary<string, object> _Parameters;
-
-            public UserDefinedFunctionContext(ITemplateContext context)
-                : base(context)
-            {
-                _Parameters = new Dictionary<string, object>(StringComparer.OrdinalIgnoreCase);
-            }
-
-            public override bool TryParameter(string parameterName, out object value)
-            {
-                return _Parameters.TryGetValue(parameterName, out value);
-            }
-
-            public override bool TryVariable(string variableName, out object value)
-            {
-                value = null;
-                return false;
-            }
-
-            internal void SetParameters(JObject[] parameters, object[] args)
-            {
-                if (parameters == null || parameters.Length == 0 || args == null || args.Length == 0)
-                    return;
-
-                for (var i = 0; i < parameters.Length; i++)
-                    _Parameters.Add(parameters[i]["name"].Value<string>(), args[i]);
-            }
-        }
-
         internal interface IParameterValue
         {
             string Name { get; }
@@ -1169,7 +1138,6 @@ protected virtual void Function(TemplateContext context, string ns, string name,
                 return;
 
             TryArrayProperty(function, PROPERTY_PARAMETERS, out var parameters);
-            //var outputFn = context.Expression.Build(outputValue);
             ExpressionFn fn = (ctx, args) =>
             {
                 var fnContext = new UserDefinedFunctionContext(ctx);
diff --git a/src/PSRule.Rules.Azure/Data/Template/UserDefinedFunctionContext.cs b/src/PSRule.Rules.Azure/Data/Template/UserDefinedFunctionContext.cs
new file mode 100644
index 00000000000..f74386db43c
--- /dev/null
+++ b/src/PSRule.Rules.Azure/Data/Template/UserDefinedFunctionContext.cs
@@ -0,0 +1,48 @@
+// Copyright (c) Microsoft Corporation.
+// Licensed under the MIT License.
+
+using System;
+using System.Collections.Generic;
+using Newtonsoft.Json.Linq;
+
+namespace PSRule.Rules.Azure.Data.Template;
+
+#nullable enable
+
+/// <summary>
+/// A nested context for user-defined functions.
+/// </summary>
+/// <param name="context">The parent <see cref="ITemplateContext"/> context.</param>
+internal sealed class UserDefinedFunctionContext(ITemplateContext context) : NestedTemplateContext(context)
+{
+    private const string PROPERTY_NAME = "name";
+
+    private readonly Dictionary<string, object> _Parameters = new(StringComparer.OrdinalIgnoreCase);
+
+    public override bool TryParameter(string parameterName, out object? value)
+    {
+        return _Parameters.TryGetValue(parameterName, out value);
+    }
+
+    public override bool TryVariable(string variableName, out object? value)
+    {
+        return base.TryVariable(variableName, out value);
+    }
+
+    internal void SetParameters(JObject[] parameters, object[]? args)
+    {
+        if (parameters == null || parameters.Length == 0 || args == null || args.Length == 0)
+            return;
+
+        for (var i = 0; i < parameters.Length; i++)
+        {
+            var name = parameters[i][PROPERTY_NAME]?.Value<string>();
+            if (!string.IsNullOrEmpty(name))
+            {
+                _Parameters.Add(name!, args[i]);
+            }
+        }
+    }
+}
+
+#nullable restore
diff --git a/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.1.bicep b/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.1.bicep
index 38cebc4c143..e699262fc2a 100644
--- a/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.1.bicep
+++ b/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.1.bicep
@@ -2,6 +2,7 @@
 // Licensed under the MIT License.
 
 // Test case for https://github.com/Azure/PSRule.Rules.Azure/issues/2922
+// Based on work contributed by @GABRIELNGBTUC
 
 module child_loop './Tests.Bicep.1.child.bicep' = [
   for (item, index) in range(0, 2): {
diff --git a/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.3.bicep b/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.3.bicep
new file mode 100644
index 00000000000..ca1ee35451e
--- /dev/null
+++ b/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.3.bicep
@@ -0,0 +1,24 @@
+// Copyright (c) Microsoft Corporation.
+// Licensed under the MIT License.
+
+// Test case for https://github.com/Azure/PSRule.Rules.Azure/issues/3123
+// Contributed by @CharlesToniolo
+
+var webAppsNames = [
+  'example1'
+  'example2'
+]
+
+resource webApps 'Microsoft.Web/sites@2022-09-01' existing = [
+  for webAppName in webAppsNames: {
+    name: webAppName
+  }
+]
+
+#disable-next-line no-unused-existing-resources
+resource webAppSettings 'Microsoft.Web/sites/config@2022-09-01' existing = [
+  for i in range(0, length(webAppsNames)): {
+    name: 'appsettings'
+    parent: webApps[i]
+  }
+]
diff --git a/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.3.json b/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.3.json
new file mode 100644
index 00000000000..eea0827c710
--- /dev/null
+++ b/tests/PSRule.Rules.Azure.Tests/Bicep/SymbolicNameTestCases/Tests.Bicep.3.json
@@ -0,0 +1,43 @@
+{
+  "$schema": "https://schema.management.azure.com/schemas/2019-04-01/deploymentTemplate.json#",
+  "languageVersion": "2.0",
+  "contentVersion": "1.0.0.0",
+  "metadata": {
+    "_generator": {
+      "name": "bicep",
+      "version": "0.30.23.60470",
+      "templateHash": "3757483382650491065"
+    }
+  },
+  "variables": {
+    "webAppsNames": [
+      "example1",
+      "example2"
+    ]
+  },
+  "resources": {
+    "webApps": {
+      "copy": {
+        "name": "webApps",
+        "count": "[length(variables('webAppsNames'))]"
+      },
+      "existing": true,
+      "type": "Microsoft.Web/sites",
+      "apiVersion": "2022-09-01",
+      "name": "[variables('webAppsNames')[copyIndex()]]"
+    },
+    "webAppSettings": {
+      "copy": {
+        "name": "webAppSettings",
+        "count": "[length(range(0, length(variables('webAppsNames'))))]"
+      },
+      "existing": true,
+      "type": "Microsoft.Web/sites/config",
+      "apiVersion": "2022-09-01",
+      "name": "[format('{0}/{1}', variables('webAppsNames')[range(0, length(variables('webAppsNames')))[copyIndex()]], 'appsettings')]",
+      "dependsOn": [
+        "[format('webApps[{0}]', range(0, length(variables('webAppsNames')))[copyIndex()])]"
+      ]
+    }
+  }
+}
\ No newline at end of file
diff --git a/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.bicep b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.bicep
new file mode 100644
index 00000000000..8f98a5f9dad
--- /dev/null
+++ b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.bicep
@@ -0,0 +1,20 @@
+// Copyright (c) Microsoft Corporation.
+// Licensed under the MIT License.
+
+// Test case for https://github.com/Azure/PSRule.Rules.Azure/issues/3120
+// Based on work contributed by @GABRIELNGBTUC
+
+import * as child from './Tests.Bicep.1.child.bicep'
+
+var v1 = []
+var v2 = [
+  2
+]
+
+func getV3() array => union(v1, v2)
+
+output o1 array = getV3()
+output o2 array = child.getV3()
+output o3 array = union(child.v1, child.v2)
+output o4 array = union(v2, child.v2)
+output o5 array = child.getV4()
diff --git a/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.child.bicep b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.child.bicep
new file mode 100644
index 00000000000..5eb32fe19a2
--- /dev/null
+++ b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.child.bicep
@@ -0,0 +1,18 @@
+// Copyright (c) Microsoft Corporation.
+// Licensed under the MIT License.
+
+@export()
+var v1 = []
+
+@export()
+var v2 = [
+  1
+]
+
+@export()
+func getV3() array => union(v1, v2)
+
+import * as child2 from './Tests.Bicep.1.child2.bicep'
+
+@export()
+func getV4() array => union(child2.v1, child2.v2)
diff --git a/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.child2.bicep b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.child2.bicep
new file mode 100644
index 00000000000..096347dcbfe
--- /dev/null
+++ b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.child2.bicep
@@ -0,0 +1,10 @@
+// Copyright (c) Microsoft Corporation.
+// Licensed under the MIT License.
+
+@export()
+var v1 = []
+
+@export()
+var v2 = [
+  3
+]
diff --git a/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.json b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.json
new file mode 100644
index 00000000000..31c436d8804
--- /dev/null
+++ b/tests/PSRule.Rules.Azure.Tests/Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.json
@@ -0,0 +1,92 @@
+{
+  "$schema": "https://schema.management.azure.com/schemas/2019-04-01/deploymentTemplate.json#",
+  "languageVersion": "2.0",
+  "contentVersion": "1.0.0.0",
+  "metadata": {
+    "_generator": {
+      "name": "bicep",
+      "version": "0.30.23.60470",
+      "templateHash": "3104036790319433669"
+    }
+  },
+  "functions": [
+    {
+      "namespace": "__bicep",
+      "members": {
+        "getV3": {
+          "parameters": [],
+          "output": {
+            "type": "array",
+            "value": "[union(variables('v1'), variables('v2'))]"
+          }
+        }
+      }
+    },
+    {
+      "namespace": "_1",
+      "members": {
+        "getV3": {
+          "parameters": [],
+          "output": {
+            "type": "array",
+            "value": "[union(variables('_1.v1'), variables('_1.v2'))]"
+          },
+          "metadata": {
+            "__bicep_imported_from!": {
+              "sourceTemplate": "Tests.Bicep.1.child.bicep"
+            }
+          }
+        },
+        "getV4": {
+          "parameters": [],
+          "output": {
+            "type": "array",
+            "value": "[union(variables('_2.v1'), variables('_2.v2'))]"
+          },
+          "metadata": {
+            "__bicep_imported_from!": {
+              "sourceTemplate": "Tests.Bicep.1.child.bicep"
+            }
+          }
+        }
+      }
+    }
+  ],
+  "variables": {
+    "v1": [],
+    "v2": [
+      2
+    ],
+    "_1.v1": [],
+    "_1.v2": [
+      1
+    ],
+    "_2.v1": [],
+    "_2.v2": [
+      3
+    ]
+  },
+  "resources": {},
+  "outputs": {
+    "o1": {
+      "type": "array",
+      "value": "[__bicep.getV3()]"
+    },
+    "o2": {
+      "type": "array",
+      "value": "[_1.getV3()]"
+    },
+    "o3": {
+      "type": "array",
+      "value": "[union(variables('_1.v1'), variables('_1.v2'))]"
+    },
+    "o4": {
+      "type": "array",
+      "value": "[union(variables('v2'), variables('_1.v2'))]"
+    },
+    "o5": {
+      "type": "array",
+      "value": "[_1.getV4()]"
+    }
+  }
+}
\ No newline at end of file
diff --git a/tests/PSRule.Rules.Azure.Tests/PSRule.Rules.Azure.Tests.csproj b/tests/PSRule.Rules.Azure.Tests/PSRule.Rules.Azure.Tests.csproj
index c1f502c73c2..89e3ac05b67 100644
--- a/tests/PSRule.Rules.Azure.Tests/PSRule.Rules.Azure.Tests.csproj
+++ b/tests/PSRule.Rules.Azure.Tests/PSRule.Rules.Azure.Tests.csproj
@@ -293,6 +293,12 @@
     <None Update="Bicep\SecretTestCases\Tests.Bicep.1.json">
       <CopyToOutputDirectory>PreserveNewest</CopyToOutputDirectory>
     </None>
+    <None Update="Bicep\UserDefinedFunctionTestCases\Tests.Bicep.1.json">
+      <CopyToOutputDirectory>PreserveNewest</CopyToOutputDirectory>
+    </None>
+    <None Update="Bicep\SymbolicNameTestCases\Tests.Bicep.3.json">
+      <CopyToOutputDirectory>PreserveNewest</CopyToOutputDirectory>
+    </None>
   </ItemGroup>
 
 </Project>
diff --git a/tests/PSRule.Rules.Azure.Tests/TemplateVisitorTests.cs b/tests/PSRule.Rules.Azure.Tests/TemplateVisitorTests.cs
index 39e0fc24097..846829ff55b 100644
--- a/tests/PSRule.Rules.Azure.Tests/TemplateVisitorTests.cs
+++ b/tests/PSRule.Rules.Azure.Tests/TemplateVisitorTests.cs
@@ -1307,6 +1307,15 @@ public void ProcessTemplate_WhenConditionalExistingReference_IgnoresExpand()
             Assert.Equal("02041802-66a9-0a85-7330-8186e16422c7", actual["name"].Value<string>());
         }
 
+        /// <summary>
+        /// Test case for https://github.com/Azure/PSRule.Rules.Azure/issues/3123
+        /// </summary>
+        [Fact]
+        public void ProcessTemplate_WhenExistingReferenceNameUsesExpression_ShouldExpandExpression()
+        {
+            var resources = ProcessTemplate(GetSourcePath("Bicep/SymbolicNameTestCases/Tests.Bicep.3.json"), null, out _);
+        }
+
         [Fact]
         public void ProcessTemplate_WhenParented_ShouldReturnExpectedScope()
         {
@@ -1384,6 +1393,30 @@ public void ProcessTemplate_WhenConditionalSecretParameter_ShouldReturnSecretsPl
             Assert.Equal("placeholder", actual["properties"]["value"].Value<string>());
         }
 
+        /// <summary>
+        /// Test case for https://github.com/Azure/PSRule.Rules.Azure/issues/3120
+        /// </summary>
+        [Fact]
+        public void ProcessTemplate_WhenUserDefinedFunctionReferencesExportedVariables_ShouldFindVariable()
+        {
+            _ = ProcessTemplate(GetSourcePath("Bicep/UserDefinedFunctionTestCases/Tests.Bicep.1.json"), null, out var templateContext);
+
+            Assert.True(templateContext.RootDeployment.TryOutput("o1", out JObject o1));
+            Assert.Equal([2], o1["value"].Values<int>());
+
+            Assert.True(templateContext.RootDeployment.TryOutput("o2", out JObject o2));
+            Assert.Equal([1], o2["value"].Values<int>());
+
+            Assert.True(templateContext.RootDeployment.TryOutput("o3", out JObject o3));
+            Assert.Equal([1], o3["value"].Values<int>());
+
+            Assert.True(templateContext.RootDeployment.TryOutput("o4", out JObject o4));
+            Assert.Equal([2, 1], o4["value"].Values<int>());
+
+            Assert.True(templateContext.RootDeployment.TryOutput("o5", out JObject o5));
+            Assert.Equal([3], o5["value"].Values<int>());
+        }
+
         #region Helper methods
 
         private static string GetSourcePath(string fileName)
diff --git a/tests/PSRule.Rules.Azure.Tests/Tests.Bicep.38.bicep b/tests/PSRule.Rules.Azure.Tests/Tests.Bicep.38.bicep
index 45ec9c80a9b..873c5c71ab5 100644
--- a/tests/PSRule.Rules.Azure.Tests/Tests.Bicep.38.bicep
+++ b/tests/PSRule.Rules.Azure.Tests/Tests.Bicep.38.bicep
@@ -2,6 +2,7 @@
 // Licensed under the MIT License.
 
 // Test case for https://github.com/Azure/PSRule.Rules.Azure/issues/2850
+// Based on work contributed by @maythamfahmi
 
 // Handle from subscription scope.
 targetScope = 'subscription'