diff --git a/.github/workflows/release-staging.yml b/.github/workflows/release-staging.yml
index 905f629..691770c 100644
--- a/.github/workflows/release-staging.yml
+++ b/.github/workflows/release-staging.yml
@@ -1,3 +1,4 @@
+
 name: Release – Staging
 
 on:
@@ -19,16 +20,16 @@ jobs:
     timeout-minutes: 15
     environment: staging
     env:
-      TF_VERSION: 1.4.6
+      TF_VERSION: 1.13.3
       APP_NAME: 'stag-saas-template'
       SUPABASE_URL: ${{secrets.SUPABASE_URL}}
       SUPABASE_SECRET_KEY: ${{secrets.SUPABASE_SECRET_KEY}}
       GOOGLE_OAUTH_CLIENT_ID: ${{secrets.GOOGLE_OAUTH_CLIENT_ID}}
       GOOGLE_OAUTH_SECRET: ${{secrets.GOOGLE_OAUTH_SECRET}}
-      DB_URL: ${{secrets.DB_URL}}
       STRIPE_API_KEY: ${{secrets.STRIPE_API_KEY}}
       STRIPE_WEBHOOK_SIGNING_SECRET: ${{secrets.STRIPE_WEBHOOK_SIGNING_SECRET}}
       JWT_SECRET: ${{secrets.JWT_SECRET}}
+      LOGTAIL_SOURCE_TOKEN: ${{secrets.LOGTAIL_SOURCE_TOKEN}}
       API_BASE_URL: ${{vars.API_BASE_URL}}
 
     steps:
@@ -43,7 +44,6 @@ jobs:
           SUPABASE_SECRET_KEY=${{ env.SUPABASE_SECRET_KEY }}
           GOOGLE_OAUTH_CLIENT_ID=${{ env.GOOGLE_OAUTH_CLIENT_ID }}
           GOOGLE_OAUTH_SECRET=${{ env.GOOGLE_OAUTH_SECRET }}
-          DB_URL=${{ env.DB_URL }}
           STRIPE_API_KEY=${{ env.STRIPE_API_KEY }}
           STRIPE_WEBHOOK_SIGNING_SECRET=${{ env.STRIPE_WEBHOOK_SIGNING_SECRET }}
           JWT_SECRET=${{ env.JWT_SECRET }}
@@ -58,6 +58,7 @@ jobs:
         run: |
           sed -i "s/autoreplace_do_token/$DIGITAL_OCEAN_TOKEN/g" variables.tf
           sed -i "s/autoreplace_github_token/$GITHUB_TOKEN/g" variables.tf
+          sed -i "s/autoreplace_logtail_token/$LOGTAIL_SOURCE_TOKEN/g" variables.tf
 
       - name: Terraform init and apply
         working-directory: ./infra/environments/staging
diff --git a/api/config/config.staging.sh b/api/config/config.staging.sh
old mode 100644
new mode 100755
index 5cc869a..5c21bf3
--- a/api/config/config.staging.sh
+++ b/api/config/config.staging.sh
@@ -1,6 +1,35 @@
+# Database Configuration
+# IMPORTANT: Only uncomment and configure these if create_database = false in your terraform.tfvars
+# If using DigitalOcean managed database (create_database = true), these are automatically provided by Terraform
+# DO NOT include these variables when using Terraform-managed database
+#DB_HOST="YOUR_DB_HOST"
+#DB_PORT="YOUR_DB_PORT"
+#DB_USER="YOUR_DB_USER"
+#DB_PASSWORD="YOUR_DB_PASSWORD"
+#DB_NAME="YOUR_DB_NAME"
+#DB_CA="" # Add CA certificate content if needed for SSL connections
+
+# Supabase Configuration
+SUPABASE_URL=https://your-supabase-app-name.supabase.co
+SUPABASE_SECRET_KEY=YOUR_SUPABASE_SECRET_KEY_HERE
+
+# Google OAuth Configuration
+GOOGLE_OAUTH_CLIENT_ID=YOUR_GOOGLE_OAUTH_CLIENT_ID_HERE
+GOOGLE_OAUTH_SECRET=YOUR_GOOGLE_OAUTH_SECRET_HERE
 GOOGLE_OAUTH_CALLBACK_URL=https://stag-saas-template-46ccu.ondigitalocean.app/api/auth/oauth/google-callback
+
+# Stripe Configuration
+STRIPE_API_KEY=YOUR_STRIPE_API_KEY_HERE
+STRIPE_WEBHOOK_SIGNING_SECRET=YOUR_STRIPE_WEBHOOK_SIGNING_SECRET_HERE
+
+# JWT Configuration
+JWT_SECRET=YOUR_JWT_SECRET_HERE
+
+# Application Configuration
 PASSWORD_RESET_REDIRECT_URL=https://stag-saas-template-46ccu.ondigitalocean.app/reset
 CLIENT_AUTH_REDIRECT_URL=https://stag-saas-template-46ccu.ondigitalocean.app/sign-in
 PASSWORD_RECOVERY_TIME=900
 BILLING_SUCCESS_REDIRECT_URL=https://stag-saas-template-46ccu.ondigitalocean.app/billing
 TRIAL_PERIOD_DURATION_DAYS=14
+
+TEST=test
\ No newline at end of file
diff --git a/api/src/shared/application/models/app-config.model.ts b/api/src/shared/application/models/app-config.model.ts
index e7c7170..2e1cd1c 100644
--- a/api/src/shared/application/models/app-config.model.ts
+++ b/api/src/shared/application/models/app-config.model.ts
@@ -1,11 +1,27 @@
-import { IsInt, IsPositive, IsString } from 'class-validator';
+import { IsInt, IsOptional, IsPositive, IsString } from 'class-validator';
 
 export class AppConfigModel {
   @IsString()
   TEST: string;
 
   @IsString()
-  DB_URL: string;
+  DB_HOST: string;
+
+  @IsString()
+  DB_PORT: string;
+
+  @IsString()
+  DB_USER: string;
+
+  @IsString()
+  DB_PASSWORD: string;
+
+  @IsString()
+  DB_NAME: string;
+
+  @IsOptional()
+  @IsString()
+  DB_CA?: string;
 
   @IsString()
   SUPABASE_URL: string;
diff --git a/api/src/shared/infrastructure/database/database.module.ts b/api/src/shared/infrastructure/database/database.module.ts
index 702197a..845cc57 100644
--- a/api/src/shared/infrastructure/database/database.module.ts
+++ b/api/src/shared/infrastructure/database/database.module.ts
@@ -9,10 +9,27 @@ import { DrizzleDbContext } from './drizzle/db-context/drizzle-db-context';
 import { mergeDbdSchema } from './drizzle/schema/merged-schema';
 
 export const drizzlePostgresModule = DrizzlePostgresModule.registerAsync({
-  useFactory: (appConfig: IAppConfigService) => ({
-    db: { config: { connectionString: appConfig.get('DB_URL') }, connection: 'pool' },
-    schema: mergeDbdSchema,
-  }),
+  useFactory: (appConfig: IAppConfigService) => {
+    const databaseCa = appConfig.get('DB_CA');
+    
+    return {
+      db: { 
+        config: { 
+          host: appConfig.get('DB_HOST'),
+          port: parseInt(appConfig.get('DB_PORT')),
+          user: appConfig.get('DB_USER'),
+          password: appConfig.get('DB_PASSWORD'),
+          database: appConfig.get('DB_NAME'),
+          ssl: databaseCa ? {
+            rejectUnauthorized: true,
+            ca: databaseCa,
+          } : false,
+        }, 
+        connection: 'pool' 
+      },
+      schema: mergeDbdSchema,
+    };
+  },
   inject: [BaseToken.APP_CONFIG],
 });
 
diff --git a/infra/environments/staging/main.tf b/infra/environments/staging/main.tf
index 3e129ca..b40316c 100644
--- a/infra/environments/staging/main.tf
+++ b/infra/environments/staging/main.tf
@@ -7,12 +7,17 @@ terraform {
   }
 
   backend "s3" {
-    endpoint                    = "fra1.digitaloceanspaces.com"
+    endpoints = {
+      s3 = "https://fra1.digitaloceanspaces.com"
+    }
     region                      = "us-west-1"
     bucket                      = "saas-template-space"
     key                         = "staging_terraform.tfstate"
     skip_credentials_validation = true
     skip_metadata_api_check     = true
+    skip_region_validation      = true
+    skip_s3_checksum            = true
+    skip_requesting_account_id  = true
   }
 }
 
@@ -29,7 +34,7 @@ module "env_config" {
 module "saas_template_app" {
   source                = "../../modules/app"
   name                 = "stag-saas-template"
-  region               = "lon"
+  region               = "fra"
   source_dir_static    = "./web"
   source_dir_api       = "./api"
   environment_slug     = "node-js"
@@ -52,4 +57,11 @@ module "saas_template_app" {
 
   logtail_source_name  = "saas-staging-logtail"
   logtail_source_token = var.logtail_source_token
+
+  # Database configuration
+  project_name        = var.project_name
+  create_database     = var.create_database
+  database_size       = var.database_size
+  database_node_count = var.database_node_count
+  database_region     = var.database_region
 }
diff --git a/infra/environments/staging/outputs.tf b/infra/environments/staging/outputs.tf
new file mode 100644
index 0000000..78625f5
--- /dev/null
+++ b/infra/environments/staging/outputs.tf
@@ -0,0 +1,12 @@
+# Database outputs
+output "database_uri" {
+  value       = module.saas_template_app.database_uri
+  sensitive   = true
+  description = "Database connection URI (if database is created)"
+}
+
+# Application outputs
+output "app_url" {
+  value       = module.saas_template_app.app_url
+  description = "The live URL of the deployed app"
+}
\ No newline at end of file
diff --git a/infra/environments/staging/variables.tf b/infra/environments/staging/variables.tf
index 0542dcf..450f81d 100644
--- a/infra/environments/staging/variables.tf
+++ b/infra/environments/staging/variables.tf
@@ -14,7 +14,7 @@ variable "do_token" {
 variable "logtail_source_token" {
   description = "Logtail Token for the application logs"
   type        = string
-  default     = ""
+  default     = "autoreplace_logtail_token"
 }
 
 variable "github_token" {
@@ -22,3 +22,33 @@ variable "github_token" {
   type        = string
   default     = "autoreplace_github_token"
 }
+
+variable "project_name" {
+  description = "Name of the DigitalOcean project"
+  type        = string
+  default     = "SaaS Template"
+}
+
+variable "create_database" {
+  description = "Whether to create a managed database"
+  type        = bool
+  default     = true
+}
+
+variable "database_size" {
+  description = "Size of the database cluster"
+  type        = string
+  default     = "db-s-1vcpu-1gb"
+}
+
+variable "database_node_count" {
+  description = "Number of nodes in the database cluster"
+  type        = number
+  default     = 1
+}
+
+variable "database_region" {
+  description = "Region for the database cluster"
+  type        = string
+  default     = "fra1"
+}
diff --git a/infra/modules/app/database.tf b/infra/modules/app/database.tf
new file mode 100644
index 0000000..2899e7e
--- /dev/null
+++ b/infra/modules/app/database.tf
@@ -0,0 +1,29 @@
+# Database cluster and related resources
+resource "digitalocean_database_cluster" "postgres" {
+  count      = var.create_database ? 1 : 0
+  name       = "${var.name}-db"
+  engine     = "pg"
+  version    = "15"
+  size       = var.database_size
+  region     = var.database_region
+  node_count = var.database_node_count
+  
+  project_id = digitalocean_project.saas_template.id
+}
+
+resource "digitalocean_database_db" "app_database" {
+  count      = var.create_database ? 1 : 0
+  cluster_id = digitalocean_database_cluster.postgres[0].id
+  name       = "app"
+}
+
+resource "digitalocean_database_user" "app_user" {
+  count      = var.create_database ? 1 : 0
+  cluster_id = digitalocean_database_cluster.postgres[0].id
+  name       = "appuser"
+}
+
+data "digitalocean_database_ca" "postgres" {
+  count      = var.create_database ? 1 : 0
+  cluster_id = digitalocean_database_cluster.postgres[0].id
+}
\ No newline at end of file
diff --git a/infra/modules/app/main.tf b/infra/modules/app/main.tf
index 6e54b4c..e6a48f6 100644
--- a/infra/modules/app/main.tf
+++ b/infra/modules/app/main.tf
@@ -14,14 +14,17 @@ provider "digitalocean" {
 
 
 resource "digitalocean_project" "saas_template" {
-  name        = "SaaS Template"
+  name        = var.project_name
   description = "A project for the SaaS Template application"
   purpose     = "Web Application"
   environment = "Development"
 }
 
 resource "digitalocean_app" "saas_template" {
-  depends_on = [ digitalocean_project.saas_template ]
+  depends_on = [ 
+    digitalocean_project.saas_template,
+    digitalocean_database_cluster.postgres
+  ]
   project_id = digitalocean_project.saas_template.id
   spec {
     name   = var.name
@@ -69,6 +72,60 @@ resource "digitalocean_app" "saas_template" {
         }
       }
 
+      dynamic "env" {
+        for_each = var.create_database ? [1] : []
+        content {
+          key   = "DB_HOST"
+          scope = "RUN_TIME"
+          value = digitalocean_database_cluster.postgres[0].host
+        }
+      }
+
+      dynamic "env" {
+        for_each = var.create_database ? [1] : []
+        content {
+          key   = "DB_PORT"
+          scope = "RUN_TIME"
+          value = tostring(digitalocean_database_cluster.postgres[0].port)
+        }
+      }
+
+      dynamic "env" {
+        for_each = var.create_database ? [1] : []
+        content {
+          key   = "DB_USER"
+          scope = "RUN_TIME"
+          value = digitalocean_database_user.app_user[0].name
+        }
+      }
+
+      dynamic "env" {
+        for_each = var.create_database ? [1] : []
+        content {
+          key   = "DB_PASSWORD"
+          scope = "RUN_TIME"
+          value = digitalocean_database_user.app_user[0].password
+        }
+      }
+
+      dynamic "env" {
+        for_each = var.create_database ? [1] : []
+        content {
+          key   = "DB_NAME"
+          scope = "RUN_TIME"
+          value = digitalocean_database_db.app_database[0].name
+        }
+      }
+
+      dynamic "env" {
+        for_each = var.create_database ? [1] : []
+        content {
+          key   = "DB_CA"
+          scope = "RUN_TIME"
+          value = data.digitalocean_database_ca.postgres[0].certificate
+        }
+      }
+
       github {
         repo           = var.gh_repository
         deploy_on_push = var.deploy_on_push
@@ -87,13 +144,13 @@ resource "digitalocean_app" "saas_template" {
         port                  = var.api_http_port
       }
 
-      # log_destination {
-      #   name = var.logtail_source_name
+      log_destination {
+        name = var.logtail_source_name
 
-      #   logtail {
-      #     token = var.logtail_source_token
-      #   }
-      # }
+        logtail {
+          token = var.logtail_source_token
+        }
+      }
     }
 
     ingress {
diff --git a/infra/modules/app/outputs.tf b/infra/modules/app/outputs.tf
new file mode 100644
index 0000000..e6f5e5f
--- /dev/null
+++ b/infra/modules/app/outputs.tf
@@ -0,0 +1,54 @@
+# Application outputs
+output "app_url" {
+  value       = digitalocean_app.saas_template.live_url
+  description = "The live URL of the deployed app"
+}
+
+# Database outputs
+output "database_uri" {
+  value       = var.create_database ? digitalocean_database_cluster.postgres[0].uri : ""
+  sensitive   = true
+  description = "Database connection URI"
+}
+
+output "database_private_uri" {
+  value       = var.create_database ? digitalocean_database_cluster.postgres[0].private_uri : ""
+  sensitive   = true
+  description = "Private database connection URI"
+}
+
+output "database_host" {
+  value       = var.create_database ? digitalocean_database_cluster.postgres[0].host : ""
+  sensitive   = true
+  description = "Database host"
+}
+
+output "database_port" {
+  value       = var.create_database ? digitalocean_database_cluster.postgres[0].port : ""
+  sensitive   = true
+  description = "Database port"
+}
+
+output "database_user" {
+  value       = var.create_database ? digitalocean_database_user.app_user[0].name : ""
+  sensitive   = true
+  description = "Database user"
+}
+
+output "database_password" {
+  value       = var.create_database ? digitalocean_database_user.app_user[0].password : ""
+  sensitive   = true
+  description = "Database password"
+}
+
+output "database_name" {
+  value       = var.create_database ? digitalocean_database_db.app_database[0].name : ""
+  sensitive   = true
+  description = "Database name"
+}
+
+output "database_ca_certificate" {
+  value       = var.create_database ? data.digitalocean_database_ca.postgres[0].certificate : ""
+  sensitive   = true
+  description = "Database CA certificate"
+}
\ No newline at end of file
diff --git a/infra/modules/app/variables.tf b/infra/modules/app/variables.tf
index 9e6cf16..7134a91 100644
--- a/infra/modules/app/variables.tf
+++ b/infra/modules/app/variables.tf
@@ -111,3 +111,33 @@ variable "env_vars" {
     value = string
   }))
 }
+
+variable "project_name" {
+  description = "Name of the DigitalOcean project"
+  type        = string
+  default     = "SaaS Template"
+}
+
+variable "create_database" {
+  description = "Whether to create a managed database"
+  type        = bool
+  default     = true
+}
+
+variable "database_size" {
+  description = "Size of the database cluster"
+  type        = string
+  default     = "db-s-1vcpu-1gb"
+}
+
+variable "database_node_count" {
+  description = "Number of nodes in the database cluster"
+  type        = number
+  default     = 1
+}
+
+variable "database_region" {
+  description = "Region for the database cluster"
+  type        = string
+  default     = "fra1"
+}