diff --git a/config/lib/seed.js b/config/lib/seed.js
index b1b9287ffb..35a76382aa 100644
--- a/config/lib/seed.js
+++ b/config/lib/seed.js
@@ -29,56 +29,66 @@ var seedAdmin = {
   roles: ['user', 'admin']
 };
 
-
 //If production only seed admin if it does not exist
 if (process.env.NODE_ENV === 'production') {
   //Add Local Admin
-  User.find({username: 'admin'}, function (err, users) {
+  User.find({username: seedAdmin.username}, function (err, users) {
     if (users.length === 0) {
-      var password = crypto.randomBytes(64).toString('hex').slice(1, 20);
-      seedAdmin.password = password;
       var user = new User(seedAdmin);
-      // Then save the user
-      user.save(function (err) {
-        if (err) {
-          console.log('Failed to add local admin');
-        } else {
-          console.log(chalk.bold.red('Local admin added with password set to ' + password));
-        }
-      });
+
+      // generate a random password and save 
+      User.generateRandomPassphrase()
+      .then(saveUser(user))
+      .catch(reportError);
+
     } else {
-      console.log('Admin user exists');
+      console.log(seedAdmin.username + ' user exists');
     }
   });
 } else {
+
   //Add Local User
-  User.find({username: 'user'}).remove(function () {
-    var password = crypto.randomBytes(64).toString('hex').slice(1, 20);
-    seedUser.password = password;
+  User.find({username: seedUser.username}).remove(function () {
     var user = new User(seedUser);
-    // Then save the user
-    user.save(function (err) {
-      if (err) {
-        console.log('Failed to add local user');
-      } else {
-        console.log(chalk.bold.red('Local user added with password set to ' + password));
-      }
-    });
-  });
 
+    // generate a random password and save
+    User.generateRandomPassphrase()
+    .then(saveUser(user))
+    .catch(reportError);
+  });
 
   //Add Local Admin
-  User.find({username: 'admin'}).remove(function () {
-    var password = crypto.randomBytes(64).toString('hex').slice(1, 20);
-    seedAdmin.password = password;
+  User.find({username: seedAdmin.username}).remove(function () {
     var user = new User(seedAdmin);
+
+    // generate a random password and save
+    User.generateRandomPassphrase()
+    .then(saveUser(user))
+    .catch(reportError);
+  });
+}
+
+// save the specified user with the password provided from the resolved promise
+function saveUser(user) {
+  return function (password) {
+    // set the new password
+    user.password = password;
+
     // Then save the user
     user.save(function (err) {
       if (err) {
-        console.log('Failed to add local admin');
+        console.log('Database Seeding:\t\t\tFailed to add local ' + user.username);        
       } else {
-        console.log(chalk.bold.red('Local admin added with password set to ' + password));
+        console.log(chalk.bold.red('Database Seeding:\t\t\tLocal ' + user.username + ' added with password set to ' + password));
       }
     });
-  });
+  };
+}
+
+// report the error
+function reportError(err) {
+  console.log();
+  console.log('Database Seeding:\t\t\t Failed to generate random password');
+  console.log(err);
+  console.log();
 }
diff --git a/modules/users/server/models/user.server.model.js b/modules/users/server/models/user.server.model.js
index 8f102517aa..ee5dbc6303 100644
--- a/modules/users/server/models/user.server.model.js
+++ b/modules/users/server/models/user.server.model.js
@@ -7,6 +7,7 @@ var mongoose = require('mongoose'),
   Schema = mongoose.Schema,
   crypto = require('crypto'),
   validator = require('validator'),
+  generatePassword = require('generate-password'),
   owasp = require('owasp-password-strength-test');
 
 /**
@@ -166,4 +167,39 @@ UserSchema.statics.findUniqueUsername = function (username, suffix, callback) {
   });
 };
 
+/**
+* Generates a random passphrase that passes the owasp test.
+* Returns a promise that resolves with the generated passphrase, or rejects with an error if something goes wrong.
+* NOTE: Passphrases are only tested against the required owasp strength tests, and not the optional tests.
+*/
+UserSchema.statics.generateRandomPassphrase = function () {
+  return new Promise(function (resolve, reject) {
+    var password = '';
+
+    // iterate until the we have a valid passphrase. 
+    // NOTE: Should rarely iterate more than once, but we need this to ensure no repeating characters are present.
+    while (password.length < 20) {
+      // build the random password
+      password = generatePassword.generate({
+        length: Math.floor(Math.random() * (20)) + 20, // randomize length between 20 and 40 characters
+        numbers: true,
+        symbols: false,
+        uppercase: true,
+        excludeSimilarCharacters: true,
+      });
+
+      // check if we need to remove any repeating characters. 
+      password = password.replace(/(.)\1{2,}/g, '');
+    }
+
+    // Send the rejection back if the passphrase fails to pass the strength test
+    if (owasp.test(password).errors.length) {
+      reject(new Error('An unexpected problem occured while generating the random passphrase'));
+    } else {
+      // resolve with the validated passphrase
+      resolve(password);
+    }
+  });
+};
+
 mongoose.model('User', UserSchema);
diff --git a/modules/users/tests/server/user.server.model.tests.js b/modules/users/tests/server/user.server.model.tests.js
index ad8e6f401b..06761db6e9 100644
--- a/modules/users/tests/server/user.server.model.tests.js
+++ b/modules/users/tests/server/user.server.model.tests.js
@@ -228,6 +228,22 @@ describe('User Model Unit Tests:', function () {
       });
     });
 
+    it('should validate a randomly generated passphrase from the static schema method', function () {
+      var _user1 = new User(user1);
+
+      User.generateRandomPassphrase()
+      .then(function (password) {
+        _user1.password = password;
+        _user1.validate(function (err) {
+          should.not.exist(err);
+        });
+      })
+      .catch(function (err) { 
+        should.not.exist(err);
+      });
+
+    });
+
     it('should validate when the password is undefined', function () {
       var _user1 = new User(user1);
       _user1.password = undefined;
diff --git a/package.json b/package.json
index cf9293ae3c..3664739990 100644
--- a/package.json
+++ b/package.json
@@ -35,6 +35,7 @@
     "express": "^4.13.1",
     "express-session": "^1.11.3",
     "forever": "~0.14.2",
+    "generate-password": "^1.1.1",
     "glob": "^5.0.13",
     "grunt": "0.4.5",
     "grunt-cli": "~0.1.13",