diff --git a/.vscode/settings.json b/.vscode/settings.json
index 65a6d92..133e687 100644
--- a/.vscode/settings.json
+++ b/.vscode/settings.json
@@ -1,10 +1,56 @@
 {
-    "python.testing.pytestArgs": [
-        "tests"
-    ],
-    "python.testing.unittestEnabled": false,
-    "python.testing.pytestEnabled": true,
-    "python.analysis.typeCheckingMode": "basic",
-    "python.terminal.activateEnvironment": true,
-    "python-envs.defaultEnvManager": "uv",
+  "editor.formatOnSave": true,
+  "[python]": {
+    "editor.defaultFormatter": "charliermarsh.ruff",
+    "editor.codeActionsOnSave": {
+      "source.fixAll": "explicit",
+      "source.organizeImports": "explicit"
+    }
+  },
+  "[json]": {
+    "editor.defaultFormatter": "esbenp.prettier-vscode"
+  },
+  "notebook.formatOnSave.enabled": true,
+  "notebook.codeActionsOnSave": {
+    // "notebook.source.fixAll": "explicit",
+    // "notebook.source.organizeImports": "explicit"
+  },
+  "notebook.output.wordWrap": true,
+  "notebook.output.textLineLimit": 200,
+  "jupyter.debugJustMyCode": false,
+  "python.testing.pytestEnabled": true,
+  "python.testing.pytestArgs": [
+    "tests"
+  ],
+  "files.exclude": {
+    "**/*.egg-info": true,
+    "**/htmlcov": true,
+    "**/~$*": true,
+    "**/.coverage.*": true,
+    "**/.venv": true,
+    "**/__pycache__": true,
+    "**/.mypy_cache": true,
+    "**/.pytest_cache": true,
+  }
+}
+
+// .vscode/launch.json
+{
+  "version": "0.2.0",
+  "configurations": [
+    {
+      "name": "Python: Debug Tests",
+      "type": "debugpy",
+      "request": "launch",
+      "program": "${file}",
+      "purpose": [
+        "debug-test"
+      ],
+      "console": "integratedTerminal",
+      "justMyCode": false,
+      "env": {
+        "PYTEST_ADDOPTS": "--no-cov"
+      }
+    }
+  ]
 }
\ No newline at end of file
diff --git a/src/alpine_bits_python/api.py b/src/alpine_bits_python/api.py
index 4947695..7865c25 100644
--- a/src/alpine_bits_python/api.py
+++ b/src/alpine_bits_python/api.py
@@ -9,13 +9,7 @@ from functools import partial
 from typing import Any
 
 import httpx
-from fastapi import (
-    APIRouter,
-    Depends,
-    FastAPI,
-    HTTPException,
-    Request,
-)
+from fastapi import APIRouter, Depends, FastAPI, HTTPException, Request
 from fastapi.middleware.cors import CORSMiddleware
 from fastapi.responses import HTMLResponse, Response
 from fastapi.security import HTTPBasic, HTTPBasicCredentials
@@ -28,22 +22,12 @@ from .alpinebits_server import (
     AlpineBitsServer,
     Version,
 )
-from .auth import (
-    generate_api_key,
-    generate_unique_id,
-    validate_api_key,
-)
+from .auth import generate_api_key, generate_unique_id, validate_api_key
 from .config_loader import load_config
-from .db import (
-    Base,
-    get_database_url,
-)
-from .db import (
-    Customer as DBCustomer,
-)
-from .db import (
-    Reservation as DBReservation,
-)
+from .db import Base
+from .db import Customer as DBCustomer
+from .db import Reservation as DBReservation
+from .db import get_database_url
 from .rate_limit import (
     BURST_RATE_LIMIT,
     DEFAULT_RATE_LIMIT,
@@ -326,8 +310,7 @@ async def health_check(request: Request):
 
 # Extracted business logic for handling Wix form submissions
 async def process_wix_form_submission(request: Request, data: dict[str, Any], db):
-    """Shared business logic for handling Wix form submissions (test and production).
-    """
+    """Shared business logic for handling Wix form submissions (test and production)."""
     timestamp = datetime.now().isoformat()
 
     _LOGGER.info(f"Received Wix form data at {timestamp}")
@@ -807,6 +790,11 @@ async def alpinebits_server_handshake(
             "X-AlpineBits-Server-Version": "2024-10",
         }
 
+        if is_compressed:
+            # Compress response if client sent compressed request
+            response_xml = gzip.compress(response_xml.encode("utf-8"))
+            headers["Content-Encoding"] = "gzip"
+
         return Response(
             content=response_xml, status_code=response.status_code, headers=headers
         )
@@ -847,12 +835,9 @@ app.include_router(api_router)
 
 @app.get("/", response_class=HTMLResponse)
 async def landing_page():
-    """Serve the under construction landing page at the root route
-    """
+    """Serve the under construction landing page at the root route."""
     try:
         # Get the path to the HTML file
-        import os
-
         html_path = os.path.join(os.path.dirname(__file__), "templates", "index.html")
 
         with open(html_path, encoding="utf-8") as f: