diff --git a/MANIFEST.in b/MANIFEST.in
index d0818196..7c22eb1b 100644
--- a/MANIFEST.in
+++ b/MANIFEST.in
@@ -1,4 +1,5 @@
 include LICENSE
+include createdb.sql
 include init.sql
 graft tests
 global-exclude *.pyc
diff --git a/init.sql b/init.sql
index 7b46b740..326391ee 100644
--- a/init.sql
+++ b/init.sql
@@ -1,8 +1,4 @@
-CREATE DATABASE squeakserver;
-
-\connect squeakserver;
-
-CREATE TABLE squeak (
+CREATE TABLE IF NOT EXISTS squeak (
   hash CHAR(64) PRIMARY KEY,
   created TIMESTAMP NOT NULL DEFAULT CURRENT_TIMESTAMP,
   nVersion INTEGER NOT NULL,
@@ -22,5 +18,5 @@ CREATE TABLE squeak (
   content CHAR(1120)
 );
 
-CREATE INDEX idx_squeak_address
+CREATE INDEX IF NOT EXISTS idx_squeak_address
   ON squeak(address);
diff --git a/itests/createdb.sql b/itests/createdb.sql
new file mode 100644
index 00000000..24618bd8
--- /dev/null
+++ b/itests/createdb.sql
@@ -0,0 +1,3 @@
+CREATE DATABASE squeakserver;
+
+\connect squeakserver;
diff --git a/itests/docker-compose.yml b/itests/docker-compose.yml
index 722ad97a..6b315a57 100644
--- a/itests/docker-compose.yml
+++ b/itests/docker-compose.yml
@@ -87,7 +87,7 @@ services:
       - POSTGRES_USER=postgres
       - POSTGRES_PASSWORD=postgres
     volumes:
-      - ../init.sql:/docker-entrypoint-initdb.d/init.sql
+      - ./createdb.sql:/docker-entrypoint-initdb.d/init.sql
 
   sqkserver:
     image: sqkserver
diff --git a/squeakserver/server/db_params.py b/squeakserver/server/db_params.py
index 24762db6..ff0a5e8b 100644
--- a/squeakserver/server/db_params.py
+++ b/squeakserver/server/db_params.py
@@ -2,8 +2,6 @@
 
 valid_params = {'host', 'database', 'user', 'password'}
 
-# valid_params = {'host', 'user', 'password'}
-
 
 def parse_db_params(config, section='postgresql'):
     # get section, default to postgresql
diff --git a/squeakserver/server/main.py b/squeakserver/server/main.py
index 4eff2c9e..43c6fb34 100644
--- a/squeakserver/server/main.py
+++ b/squeakserver/server/main.py
@@ -154,6 +154,7 @@ def run_server(config):
     postgres_db = load_postgres_db(config)
     print('postgres_db: ' + str(postgres_db), flush=True)
     postgres_db.get_connection()
+    postgres_db.init()
 
     print('starting lightning client here...', flush=True)
     lightning_client = load_lightning_client(config)
diff --git a/squeakserver/server/postgres_db.py b/squeakserver/server/postgres_db.py
index 2f066161..bc5b5eb0 100644
--- a/squeakserver/server/postgres_db.py
+++ b/squeakserver/server/postgres_db.py
@@ -30,6 +30,14 @@ class PostgresDb():
                 db_version = curs.fetchone()
                 print(db_version)
 
+    def init(self):
+        """ Create the tables and indices in the database. """
+        with psycopg2.connect(**self.params) as conn:
+            with conn.cursor() as curs:
+	        # execute a statement
+                print('Setting up database tables...')
+                curs.execute(open("init.sql", "r").read())
+
     def insert_squeak(self, squeak):
         """ Insert a new squeak. """
         sql = """