diff --git a/crates/pgt_workspace/src/workspace/server/parsed_document.rs b/crates/pgt_workspace/src/workspace/server/parsed_document.rs
index dafd5697..e5c0eeb1 100644
--- a/crates/pgt_workspace/src/workspace/server/parsed_document.rs
+++ b/crates/pgt_workspace/src/workspace/server/parsed_document.rs
@@ -404,3 +404,27 @@ impl<'a> StatementFilter<'a> for IdFilter {
         *id == self.id
     }
 }
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+
+    use pgt_fs::PgTPath;
+
+    #[test]
+    fn sql_function_body() {
+        let input = "CREATE FUNCTION add(integer, integer) RETURNS integer
+    AS 'select $1 + $2;'
+    LANGUAGE SQL
+    IMMUTABLE
+    RETURNS NULL ON NULL INPUT;";
+
+        let path = PgTPath::new("test.sql");
+
+        let d = ParsedDocument::new(path, input.to_string(), 0);
+
+        let stmts = d.iter(DefaultMapper).collect::<Vec<_>>();
+
+        assert_eq!(stmts.len(), 2);
+    }
+}
diff --git a/crates/pgt_workspace/src/workspace/server/sql_function.rs b/crates/pgt_workspace/src/workspace/server/sql_function.rs
index 3273466d..777210d5 100644
--- a/crates/pgt_workspace/src/workspace/server/sql_function.rs
+++ b/crates/pgt_workspace/src/workspace/server/sql_function.rs
@@ -5,6 +5,7 @@ use pgt_text_size::TextRange;
 
 use super::statement_identifier::StatementId;
 
+#[derive(Debug, Clone)]
 pub struct SQLFunctionBody {
     pub range: TextRange,
     pub body: String,
@@ -97,6 +98,16 @@ fn find_option_value(
                         .find_map(|arg| {
                             if let pgt_query_ext::NodeEnum::String(s) = arg {
                                 Some(s.sval.clone())
+                            } else if let pgt_query_ext::NodeEnum::List(l) = arg {
+                                l.items.iter().find_map(|item_wrapper| {
+                                    if let Some(pgt_query_ext::NodeEnum::String(s)) =
+                                        item_wrapper.node.as_ref()
+                                    {
+                                        Some(s.sval.clone())
+                                    } else {
+                                        None
+                                    }
+                                })
                             } else {
                                 None
                             }