Can I set up PYTHONPATH env. var. in Visual Studio Code?

I tried to set up PYTHONPATH environmental variable in vscode in Mac, and it does not work. VScode version: Version: 1.78.1 (Universal), Mac os: 13.3.1 (a)
I followed the instruction:
https://code.visualstudio.com/docs/python/environments#_use-of-the-pythonpath-variable
In workspace setting.json

{
    "workbench.colorCustomizations": {
        "editorLineNumber.foreground": "#00ff00"
    },
    "terminal.integrated.env.osx": {
        "PYTHONPATH": "${workspaceFolder}/src",
        "ABC": "124"
    }
}

In the terminal, I type

echo $PYTHONPATH

and it returns:

/usr/local/Cellar/apache-spark/3.3.2/libexec/python/

I then set PYTHONPATH in user settint.json like this

{
    "terminal.integrated.defaultProfile.osx": "bash",
    "terminal.integrated.inheritEnv": false,
    "terminal.integrated.env.osx": {
        "PYTHONPATH": "${workspaceFolder}/src"
    }
}

I closed vs code and reopened, and type

echo $PYTHONPATH

and got same result.

I also set PYTHONPATH in .env right under workspace

PYTHONPATH=/Users/{user_name}/gitlab/aws/dummy_project

it does not work either.

Can anyone help on this?