diff --git a/lib/new_relic/agent/configuration/default_source.rb b/lib/new_relic/agent/configuration/default_source.rb
index 52f16aab9d..ec03742935 100644
--- a/lib/new_relic/agent/configuration/default_source.rb
+++ b/lib/new_relic/agent/configuration/default_source.rb
@@ -1850,6 +1850,15 @@ def self.enforce_fallback(allowed_values: nil, fallback: nil)
           :allowed_from_server => false,
           :description => 'Specify a custom host name for [display in the New Relic UI](/docs/apm/new-relic-apm/maintenance/add-rename-remove-hosts#display_name).'
         },
+        # Rails
+        :'defer_rails_initialization' => {
+          :default => false,
+          :public => true,
+          :type => Boolean,
+          :allowed_from_server => true,
+          :description => 'If `true`, when the agent is in an application using Ruby on Rails, it will start after ' \
+            'config/initializers are run.'
+        },
         # Rake
         :'rake.tasks' => {
           :default => [],
diff --git a/lib/new_relic/control/instance_methods.rb b/lib/new_relic/control/instance_methods.rb
index 6d48b0d2a7..bab3ef1032 100644
--- a/lib/new_relic/control/instance_methods.rb
+++ b/lib/new_relic/control/instance_methods.rb
@@ -65,7 +65,7 @@ def init_plugin(options = {})
         # An artifact of earlier implementation, we put both #add_method_tracer and #trace_execution
         # methods in the module methods.
         # Rails applications load the next two lines before any other initializers are run
-        unless defined?(Rails::VERSION)
+        unless defined?(Rails::VERSION) && NewRelic::Agent.config[:defer_rails_initialization]
           Module.send(:include, NewRelic::Agent::MethodTracer::ClassMethods)
           Module.send(:include, NewRelic::Agent::MethodTracer)
         end
diff --git a/lib/newrelic_rpm.rb b/lib/newrelic_rpm.rb
index 37e6e1854e..c6917c2e93 100644
--- a/lib/newrelic_rpm.rb
+++ b/lib/newrelic_rpm.rb
@@ -20,13 +20,19 @@
 if defined?(Rails::VERSION)
   module NewRelic
     class Railtie < Rails::Railtie
-      initializer "newrelic_rpm.include_method_tracers", before: :load_config_initializers do |app|
-        Module.send(:include, NewRelic::Agent::MethodTracer::ClassMethods)
-        Module.send(:include, NewRelic::Agent::MethodTracer)
-      end
+      if NewRelic::Agent.config[:defer_rails_initialization]
+        initializer "newrelic_rpm.include_method_tracers", before: :load_config_initializers do |app|
+          Module.send(:include, NewRelic::Agent::MethodTracer::ClassMethods)
+          Module.send(:include, NewRelic::Agent::MethodTracer)
+        end
 
-      initializer "newrelic_rpm.start_plugin", after: :load_config_initializers do |app|
-        NewRelic::Control.instance.init_plugin(config: app.config)
+        initializer "newrelic_rpm.start_plugin", after: :load_config_initializers do |app|
+          NewRelic::Control.instance.init_plugin(config: app.config)
+        end
+      else
+        initializer "newrelic_rpm.start_plugin", before: :load_config_initializers do |app|
+          NewRelic::Control.instance.init_plugin(config: app.config)
+        end
       end
     end
   end
diff --git a/test/new_relic/newrelic_rpm_test.rb b/test/new_relic/newrelic_rpm_test.rb
index 3698b9bad8..fbdfbe9c2c 100644
--- a/test/new_relic/newrelic_rpm_test.rb
+++ b/test/new_relic/newrelic_rpm_test.rb
@@ -10,38 +10,76 @@ class NewRelicRpmTest < Minitest::Test
 
   # We have documentation recommending customers call add_method_tracer
   # in their initializers, let's make sure this works
-  def test_add_method_tracer_in_initializer_gets_traced
+  def test_add_method_tracer_in_initializer_gets_traced_when_agent_initialized_before_config_initializers
     skip unless defined?(Rails::VERSION)
     skip 'MySQL error for Rails 3.2' if Rails::VERSION::MAJOR == 3
 
-    assert Bloodhound.newrelic_method_exists?('sniff'),
-      'Bloodhound#sniff not found by' \
-      'NewRelic::Agent::MethodTracer::ClassMethods::AddMethodTracer.newrelic_method_exists?'
-    assert Bloodhound.method_traced?('sniff'),
-      'Bloodhound#sniff not found by' \
-      'NewRelic::Agent::MethodTracer::ClassMethods::AddMethodTracer.method_traced?'
+    with_config(defer_rails_initialization: false) do
+      assert Bloodhound.newrelic_method_exists?('sniff'),
+        'Bloodhound#sniff not found by' \
+        'NewRelic::Agent::MethodTracer::ClassMethods::AddMethodTracer.newrelic_method_exists?'
+      assert Bloodhound.method_traced?('sniff'),
+        'Bloodhound#sniff not found by' \
+        'NewRelic::Agent::MethodTracer::ClassMethods::AddMethodTracer.method_traced?'
+    end
+  end
+
+  def test_add_method_tracer_in_initializer_gets_traced_when_agent_initialized_after_config_initializers
+    skip unless defined?(Rails::VERSION)
+    skip 'MySQL error for Rails 3.2 if we define an initializer in config/initializers' if Rails::VERSION::MAJOR == 3
+
+    with_config(defer_rails_initialization: true) do
+      assert Bloodhound.newrelic_method_exists?('sniff'),
+        'Bloodhound#sniff not found by' \
+        'NewRelic::Agent::MethodTracer::ClassMethods::AddMethodTracer.newrelic_method_exists?'
+      assert Bloodhound.method_traced?('sniff'),
+        'Bloodhound#sniff not found by' \
+        'NewRelic::Agent::MethodTracer::ClassMethods::AddMethodTracer.method_traced?'
+    end
   end
 
   # All supported Rails versions have the default value for
   # timestamped_migrations as true. Our initializer sets it to false.
   # Test to resolve: https://github.com/newrelic/newrelic-ruby-agent/issues/662
-  def test_active_record_initializer_config_change_saved
+
+  def test_active_record_initializer_config_change_saved_when_agent_initialized_after_config_initializers
     skip unless defined?(Rails::VERSION)
     # TODO: This test passes in a Rails console in a playground app and in the customer's environment
     # but fails in this unit test context
     skip if Gem::Version.new(NewRelic::VERSION::STRING) >= Gem::Version.new('8.13.0')
     skip 'MySQL error for Rails 3.2' if Rails::VERSION::MAJOR == 3
 
-    # Verify the configuration value was set to the initializer value
-    refute Rails.application.config.active_record.timestamped_migrations,
-      "Rails.application.config.active_record.timestamped_migrations equals true, expected false"
+    with_config(defer_rails_initialization: true) do
+      # Verify the configuration value was set to the initializer value
+      refute Rails.application.config.active_record.timestamped_migrations,
+        "Rails.application.config.active_record.timestamped_migrations equals true, expected false"
+
+      # Verify the configuration value was applied to the ActiveRecord class variable
+      if Gem::Version.new(Rails::VERSION::STRING) >= Gem::Version.new('7.1')
+        refute ActiveRecord.timestamped_migrations, "ActiveRecord.timestamped_migrations equals true, expected false"
+      else
+        refute ActiveRecord::Base.timestamped_migrations,
+          "ActiveRecord::Base.timestamped_migrations equals true, expected false"
+      end
+    end
+  end
+
+  def test_active_record_initializer_config_change_not_saved_when_agent_initialized_before_config_initializers
+    skip unless defined?(Rails::VERSION)
+    skip 'MySQL error for Rails 3.2' if Rails::VERSION::MAJOR == 3
+
+    with_config(defer_rails_initialization: false) do
+      # Verify the configuration value was set to the initializer value
+      refute Rails.application.config.active_record.timestamped_migrations,
+        "Rails.application.config.active_record.timestamped_migrations equals true, expected false"
 
-    # Verify the configuration value was applied to the ActiveRecord class variable
-    if Gem::Version.new(Rails::VERSION::STRING) >= Gem::Version.new('7.1')
-      refute ActiveRecord.timestamped_migrations, "ActiveRecord.timestamped_migrations equals true, expected false"
-    else
-      refute ActiveRecord::Base.timestamped_migrations,
-        "ActiveRecord::Base.timestamped_migrations equals true, expected false"
+      # Rails.application.config value should not be applied (this is the state of the original bug)
+      if Gem::Version.new(Rails::VERSION::STRING) >= Gem::Version.new('7.1')
+        assert ActiveRecord.timestamped_migrations, "ActiveRecord.timestamped_migrations equals false, expected true"
+      else
+        refute ActiveRecord::Base.timestamped_migrations,
+          "ActiveRecord::Base.timestamped_migrations equals false, expected true"
+      end
     end
   end
 end