update env setup in README

Author: ShMcK

README.md

@@ -7,12 +7,25 @@ CodeRoad allows you to play interactive coding tutorials in your editor.
 ## Requirements
 
 Requires:
+
 - VSCode 1.34+
 - Git
 - Node 10+
 
 ## Development
 
+Run the postgres db and api server.
+
+Setup the web app environmental variables.
+
+/web-app/.env.local
+
+```
+REACT_APP_DEBUG=true # show/hide web debugger
+REACT_APP_GQL_URL=http://localhost:4000/graphql
+REACT_APP_GQL_AUTH_TOKEN={YOUR_API_AUTH_TOKEN}
+```
+
 Run `npm run build`. Press F5 to open a new development window.
 
 Open the tutorial using `cmd+shift+p` on mac, and select the action `coderoad.start`.
@@ -25,9 +38,8 @@ For example:
 
 This extension contributes the following settings:
 
-* `coderoad.start`: starts the extension
+- `coderoad.start`: starts the extension
 
 ## Known Issues
 
 There are no known issues at this time.
-