diff --git a/v2/tools/docutils.jam b/v2/tools/docutils.jam
old mode 100755
new mode 100644
index d6155ecfe..9055f8d53
--- a/v2/tools/docutils.jam
+++ b/v2/tools/docutils.jam
@@ -42,15 +42,19 @@ type.set-scanner ReST : rst-scanner ;
 
 generators.register-standard docutils.html : ReST : HTML ;
 
-rule init ( docutils-dir ? )
+rule init ( docutils-dir ? : tools-dir ? )
 {
+    ECHO docutils-dir= $(docutils-dir) ;
     docutils-dir ?= [ modules.peek : DOCUTILS_DIR ] ;
+    ECHO tools-dir= $(tools-dir) ;
+    tools-dir ?= $(docutils-dir)/tools ;
 
     if ! $(.initialized)
     {
         .initialized = true ;
         .docutils-dir = $(docutils-dir) ;
-        
+        .tools-dir = $(tools-dir:R="") ;
+       
         .setup = [ 
           common.prepend-path-variable-command PYTHONPATH 
             : $(.docutils-dir) $(.docutils-dir)/extras ] ;
@@ -62,7 +66,7 @@ rule html ( target : source : properties *  )
     if ! [ on $(target) return $(RST2XXX) ]
     {
         local python-cmd = [ property.select <python.interpreter> : $(properties) ] ;
-        RST2XXX on $(target) = $(python-cmd:G=:E="python") $(.docutils-dir)/tools/rst2html.py ;
+        RST2XXX on $(target) = $(python-cmd:G=:E="python") $(.tools-dir)/rst2html.py ;
     }
 }